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Spoofing, Surveillance and Supervision

Jay Biondo, Product Manager - Surveillance at Trading Technologies, co-authored an article along with James Lundy and Nicholas Wendland, both of Drinker Biddle & Reath LLP, reviewing the CFTC's regulations and expanding efforts, 21st century surveillance and supervision, as well as strategic recommendations.

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July 1, 2012

Pipeline: Going, Going....

By James Armstrong

After selling its crown jewels to Portware and its remaining intellectual property to ITG, Aritas Group, formerly known as Pipeline Trading Systems, is winding down.

Jay Biancamano, executive chairman of Aritas, is slated to move to Portware once a deal closes to sell key assets, including the AlphaPro product and algorithm switching engine, to Portware.

Jay Biancamano

Aritas sold its remaining patents to ITG, but Biancamano said there are some assets left.

"The broker-dealer is still around, though we are looking to deregister that," Biancamano said. "The ATS and the technology associated with the ATS, the Block Board, is still around. The connectivity is still around. So in effect, that's really what's left of Aritas."

Once the centerpiece of the company's operations, the now infamous Pipeline dark pool stopped taking orders in the wake of a scandal that revealed the firm was sending order flow to an affiliate without disclosing that fact.

Clients never came back to the firm's dark pool, though its algo switching engine and AlphaPro system have managed to retain users.

Biancamano said while the ATS is no more, the technology it used still exists. He said there is no chance of keeping the technology as a going concern but could not comment on whether or not there was a potential sale of the remaining tech infrastructure.

Biancamano said that for legal reasons Aritas will have to be kept open for a while, though he will depart once the Portware deal closes.

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