IHS Markit (Nasdaq: INFO), a provider of critical information, analytics and solutions, announced that Hermes Investment Management has selected its Transaction Cost Analysis (TCA) platform.
The codification of best execution as a fiduciary obligation is a major challenge for asset managers, said Michael Richter, director of trade analytics at IHS Markit. Firms will need to think about best execution analysis and TCA as essential parts of their risk management process, particularly as execution analytics expand in fixed-income and move from post trade to the entire trade lifecycle.
The TCA service from IHS Markit is an independent, multi-asset analysis platform that combines execution, algorithmic, venue and smart order routeranalytics.
The service provides actionable insight to brokers and asset managers to evaluate the quality of their trade execution, by analyzing order routers forefficiency in finding liquidity, venues for fill probability and opportunity costs and order types for information leakage and market impact.