Bloomberg Professional executives announced today that Henderson Global Investors ('Henderson'), a leading independent global asset management firm with over GBP 59 billion in assets under management, has adopted the Bloomberg Transaction Cost Analysis (BTCA) tool globally for Henderson's equity business.
Henderson will be using BTCA, a dynamic and highly customizable pre- and post-trade transaction cost analysis solution, to get to the root cause of trade outliers. BTCA uses the same accurate, transparent and unmatched market data suite available on the Bloomberg Professional® service.
Transaction Cost Analysis (TCA) is growing in importance due to mounting regulatory scrutiny and increased competition for assets among buy-side players. These market pressures combined with liquidity fragmentation and the resulting explosion in choice of execution strategies makes TCA crucial in today's marketplace.
BTCA receives transactional data from Bloomberg Asset and Investment Manager (AIM), a global, multi-asset order management system, as well as the Bloomberg Execution Management System (EMSX). To support non-users of these systems, BTCA also integrates with any other OMS/EMS or proprietary system, collecting data on a daily or periodic basis to tailor to clients' unique needs. By combining Bloomberg's extensive library of TCA benchmarks with historical trading information, BTCA enables clear assessment of transaction costs and evaluation of trader/broker performance.
"We chose BTCA for the independence it delivered us," said Andy Munro, Global Head of Trading at Henderson. "BTCA is flexible, intuitive and integrates seamlessly with all the familiar Bloomberg functions we use day-to-day, allowing us to analyze quickly the facts behind a certain performance number. The on-demand reporting and flexibility to create custom reports means we can investigate and analyze issues quickly and efficiently and then make changes to our trading strategies, which ultimately allow us to improve our performance and garner better returns for our clients."
Henderson also uses Bloomberg EMSX, a global, multi-asset, broker-neutral execution management system to manage orders, access liquidity and monitor trading performance through the suite of real-time TCA capabilities.
"H"Henderson has been a valued customer of Bloomberg's for a long time and we are delighted to extend this relationship to support the mission critical functions of analyzing their transaction costs and on-demand reporting," said Don Carey, Global Head Bloomberg EMS Solutions. "Bloomberg's clients demand products that are broker-neutral and easily accessible on demand. BTCA is a natural evolution of our offering and fills in a major gap for our global client base."