Trading Technologies International, Inc. (TT), a global capital markets technology platform provider, today announced the introduction of TT Splicer, a new TT Premium Order Type that provides industry-first functionality for multi-leg synthetic trading.
Joe Signorelli, EVP & Managing Director, Quantitative Trading Solutions, said:
“TT Splicer combines the ease and flexibility of TT’s market-leading Autospreader® with the power of best-in-class execution algorithms to uniquely minimize slippage and optimize trade execution when trading multi-leg synthetic spreads. This is an exciting development that enables our customers to create a range of new trading opportunities and applications that meet their needs.”
TT Splicer allows users to uniquely leverage Autospreader to create a multi-leg synth on any exchange – even if the hub doesn’t list those products – and then use one of TT’s built-in algos for seamless management of order execution. TT Splicer orchestrates the execution of the strand on co-located servers and instantly monitors all fills in real-time, while dynamic custom ratios continuously balance risk.
Potential TT Splicer applications include:
- Trading ICE/CME Heating Oil/Gas Oil (HOGO) is spread directly as a single instrument, controlling how tightly the offset leg is held in balance with the ends
- Roll a contract and “enter” the spread
- Trade Soybean Crush and automatically adjust indicators to receive less liquidity on one or both legs
- Consider changes in the Brazilian Real/US Dollar exchange rate when trading sugar contracts on ICE
- Create daily spreads on SGX and other Asian markets that do not natively quote these products
In addition to the TT Splicer, the product suite includes:
- TT Brisk: Execute target price arrival and boost physical basis trading.
- TT Close: Smartly execute on settlement or market close.
- TT POV: Run according to market activity to target interest rate or in illiquid markets.
- TT Prowler: Run iceberg style with added anti-game and fluidity capture features.
- TT POV Scale: Execute within a target range dependent on market conditions.
- TT TWAP+: Perform evenly over time (time weighted average) with smart sizing and distribution.
- TT VWAP+: Execute at expected liquidity (volume weighted average price) such as during settlement windows to mimic the transaction at settlement (TAS).