Barclays announces commitment to reporting dark pool volume
Confirmation underscores Barclays’ belief that transparency benefits the overall industry
Barclays today confirmed its commitment to reporting volumes in its dark pool, LX®, on a monthly basis.
“Our commitment to reporting volumes and other aggregate details about LX underscores Barclays’ belief that transparency is not only important, but that it benefits both our clients and the market overall,” said Bill White, Head of Equities Electronic Trading. “As the equities market structure continues to evolve, our belief is that more transparency will assist clients in finding natural sources of liquidity and allow them to make more informed decisions on their trading.”
In April 2013, LX reported an average daily volume of 99 million shares, representing $6.6 billion in average daily notional value traded.
The commitment to report volumes in LX follows several other initiatives introduced in recent years which have also promoted transparency to help clients make informed decisions:
· Liquidity Profiling in LX: Introduced in January 2012, Liquidity Profiling allows Barclays to evaluate each client’s trading in LX based on quantitative factors, thereby providing more accurate assessments of aggressive, neutral and passive trading strategies. Clients can then choose which trading styles they interact with, instead of choosing by the more arbitrary designation of client type.
· LX reporting to clients: Using the quantitative metrics from Liquidity Profiling and Barclays’ in-house transaction cost analysis tools, clients can receive regular reports on their trading performance in LX.
· Real-time executions monitor: Through Barclays’ Portfolio WebBench® analytics suite, clients can monitor on which venues their orders are being executed, historically or in real time, and can use that information to adjust their strategy based on where liquidity resides.
· DirectEx block trade system: Launched at the end of 2012, the DirectEx platform added Barclays’ own and clients’ actionable indications of interest (IOIs) to the Bloomberg Professional Service, and made them executable electronically, thereby giving clients more transparency into the availability of natural sources of block liquidity.
· Bloomberg trade advertisements: In November 2012, Barclays announced that clients using the Bloomberg Professional Service could now see Barclays’ trading activity in a desired stock in both the aggregate and broken out by high-touch and low-touch execution channels, posted on a near-real time basis on the IOIA and RANK screens.
Barclays moves, lends, invests and protects money for customers and clients worldwide. With over 300 years of history and expertise in banking, we operate in over 50 countries and employ over 140,000 people. We provide large corporate, government and institutional clients with a full spectrum of solutions to their strategic advisory, financing and risk management needs. Our clients also benefit from access to the breadth of expertise across Barclays. We’re one of the largest financial services providers in the world, and are also engaged in retail banking, credit cards, corporate banking, and wealth and investment management. Barclays offers premier investment banking products and services to its clients through Barclays Bank PLC.
For more information, visit www.barclays.com