Two great trading firms that go great together.
Liquidnet, the equity block trading pool, and IEX, the buyside sponsored ATS that wants to help the buyside avoid predatory traders and find the elusive block trade, have joined together to create a new algorithm that will help the buyside find liquidity – anonymously, cheaply and in large size.
The new algorithm or order routing software has been dubbed “Liquidnet Dark IEX,” is designed to provide the buyside with access to both firm’s liquidity pools and help them execute orders with the least amount of market impact and adverse price selection.
“We are always looking to provide our Members with better access and more control over their block orders. Traders can now work their orders safely and securely within both Liquidnet and IEX. This is one more way that we are providing the market with safe and efficient ways to trade,” said Scott Kartinen, head of algo products at Liquidnet.
So how does it work?
Liquidnet Dark IEX is a new proprietary routing strategy which exposes each order to Liquidnet’s pool of liquidity while simultaneously accessing liquidity in IEX’s pool.
Liquidnet clients can access the algorithm from their desktop application or through the firm’s trading desk.
