Commentary

Ronald Jordan
Traders Magazine Online News

Understanding Your Data is No Longer Optional

In this contributed article from Global Markets Advisory Group, the advisory discusses the importance of data and how organizations should augment existing skill sets and capabilities to add a data-focused perspective to their operating fabric.

Traders Poll

Do you expect SEC Chairman Jay Clayton to push for regulation in the cryptocurrency issuance and trading markets?

Yes

74%

No

5%

The CFTC will push for regulation

21%

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February 1, 2005

The No. 1 Trading House On Wall Street Is Named

By Peter Chapman

Instinet Group is the best trading house on the Street. At least that's according to a survey of trading quality performed by Plexus Group, the transaction cost measurement firm. Of the 30 largest broker dealers in the U.S., Instinet produced the highest "value added" scores in both Nasdaq and listed trading.

The reasons for the strong performance, according to a top Instinet executive, were the business model, the professionalism of sales traders and technology. "We don't disadvantage our customers by trading on a proprietary basis," says Natan Tiefenbrun, president of Instinet's international business, "nor do we shop merchandize without clients' permission."

Tiefenbrun added that its direct access technology was better than other agency brokers, leading to better executions for customers who self-trade. About half of Instinet's volume is self-directed, he said. For the 12 months ended Sept. 30, 2004, Plexus said Instinet posted a value added score of 17 basis points for Nasdaq trading and nine basis points for listed trading.