THE SELL SIDE
For banks, Algomi creates a real-time internal network of salespeople and traders, using their own data, external aggregators and other sources; enabling banks to identify the best trade opportunities and to generate efficient collaboration between traders, salespeople and a discreet dynamic connection to their universe of investor clients and interbank parties.
This is not a trading platform, banks can use any of their existing trading systems, we are providing the insight and connection to the Honeycomb network to help provide liquidity in the bond market.
As banks shift from risk to hybrid risk/agency models in fixed income, the need to manage huge volumes of sensitive information has become paramount. The inability to put the right people on the right trade opportunities has a large revenue opportunity cost.
Sell-side bond salespeople have an overwhelming amount of data to sift through and analyze on a daily basis including constantly updated trader runs, axes, eTrade enquiries and client cares; plus new issue orders and allocations, research, client information and headlines. Monitoring and prioritizing all this data to uncover true opportunities is near impossible when it resides in disparate systems and differing formats.
Algomi’s Java based Synchronicity engine (patent pending) brings every relevant data touch point into one place, creating a Virtual Balance Sheet. The platform intelligently matches the volumes of disparate information produced within the sales and trading functions of a bank. Unconstrained by the conventional restriction that liquidity must be on an exact match basis, we employ a customisable Crossing Engine based on the principle of fungible instruments that is further expanded on by our Collaboration Engine which identifies the people associated with this data. All this is done in real-time to ensure that for every execution opportunity the right data along with the relevant people is presented in context. Information includes reference data, sales coverage, client portfolios, trades, RFQ, axe feeds, live prices, along with voice and electronic inquiries data that cumulatively reflect the millions of data points currently underutilised.
Sourced across a variety of systems and protocols, our Integration Modules adopt a mature framework of Enterprise Integration Patterns tailored to reflect the financial services industry for a seamless integration of our clients’ data. Integration is performed to complement a bank's IT infrastructure, leveraging a platform architecture that is by design, able to interoperate with enterprise, using proven standards in an implementation agnostic manner across core components such as messaging, application servers and databases. This allows our clients to ensure use of our product remains compliant with their technology mandates while also benefitting from skills and synergies that come from existing managed services.
Business rules are run across the data to find potential matches. It ranks these matches by transactional likelihood and actively pushes these to the relevant salesperson. This data creates a Virtual Balance Sheet and is displayed in an intuitive, dynamic usable graphic user interface. Each individual salesperson has their own opportunities list, which means the global sales team is working as one coherent and efficient unit, with each salesperson working on the right opportunity at the right time. The algorithm is entirely configurable by each bank so that it best represents its franchise and business model. This Virtual Balance Sheet represents the bank's true capabilities to service their clients' needs.
All this data in one place and one format can be leveraged in a multitude of other ways, allowing salespeople instant insight on a client-by-client basis, and displaying trade blotters and inventory across books and regions. Traders are able to analyze flow and market trends by sector, currency or bond. Management gain unparalleled oversight of the activity of their salespeople and their client engagement.
Further more, to facilitate increased client flows, sell-side firms running the system have the ability to provide additional pre-trade transparency directly to the buy-side community in a fully customisable manner and subsequently at their discretion, through to the buy-side (protocol patent pending) on the Honeycomb network.