The Tokyo Stock Exchange’s microstructure changes have presented added challenges for participants to actively trade in the market. Foremost, reductions in the tick prices, in some cases to less than 1/10th of the original size, have significantly impacted market dynamics. As a result, trading to VWAP, a staple for Japanese domestic accounts, or trading to arrival price for foreign accounts, is becoming more challenging as liquidity is granularly dispersed at narrowing price levels. To confront these challenges, we believe it’s important to use algorithmic systems which have adapted in-line with these changes.
NEWSLETTER SIGN UP
And receive exclusive articles on securities markets
As Technology Evolves, Asset Managers Adapt and Innovate
Citi Changes Organizational Structure
SEC Charges Virtu for Disclosures Relating to Information Barriers
ICE Futures Singapore Partners with CoinDesk Indices