Corvil in the Spotlight at TradingTech Summit

Foreign exchange trading and MIFID II dominated our conversations at the London conference.

Corvil in the Spotlight at TradingTech SummitBy Alexzander Leslie    March 9, 2019      Events

Visitors who came to the London event would have left with a much better understanding of what we do.

The TradingTech Summit event focuses on real world challenges in the financial markets industry. Currently, the fallout from MiFID II and the rise of AI and machine learning are the primary topics of conversation among delegates. No surprise that Corvil was there at the recent London summit, contributing to both topics. Our CEO, Donal Byrne, gave a keynote speech on execution analytics and the application Of machine learning/ AI to learn quantitative relationships between trade outcome and trade execution performance. Matt Davey, our Director of Product Management, took part in a panel discussion on optimal trading connectivity.

Donal’s talk was ‘Trade Execution Analytics – Turning Trade Execution Insights into Alpha’, which introduced delegates to a new kind of intelligent monitoring and analysis that would benefit the business side of trading companies as well their technical teams. We have developed machine learning algorithms that identify which elements of a trading system are impacting trading outcomes, such as latency and type of order or trading symbol.

Quantifying relationships

Using next-generation trade execution analytics to enhance trading performance is a game changer, as Donal explained:

In the past, understanding the relationship between trading systems performance and trade outcomes has been intuitive. Using machine learning, we can better quantify the relationship and use this new understanding in practical ways. We can see from evidence that better performing systems, technology and intelligence can deliver trade execution outcomes above market average.

Lifting the bonnet on the relationship between infrastructure performance and trade outcomes has many potential uses cases:

  • Exchanges improve transparency to members that would make them preferred venues;
  • Sell-side brokers can use the analysis to showcase their execution capabilities to buy-side firms.

Digging down into the details of trade execution analytics, Donal described how machine learning algorithms could correlate relationships between order execution and a wide range of IT performance metrics. Analysis of the data could reveal, for example, how an infrastructure performance issue led to a sudden increase in the number of cancels from a specific venue, or show that lower market latency was the reason why client fill rates improved.

Best platform award

Matt’s panel discussion was an opportunity to talk about another Corvil original take on technology – this time our time-stamping capability. The topic, ‘Trade Infrastructure Monitoring for Optimal Trading Connectivity’, zeroed in on network monitoring and timestamping challenges in particular. There were a lot of conversations about what clock synchronization and time-stamping methods to use to accurately measure latency; Matt made a compelling case for a networked-based approach where every trade is stamped with nanosecond granularity.

Knowing exactly the sequence of every message involved in executing a trade is key aspect of the data needed for the intelligent trade execution analytics discussed in Donal’s presentation. Machine learning analysis is only as good as the quality of the data it is provided.

This is why we were pleased that winning the prestigious TradingTech Insight Europe Award, Best Trading Infrastructure Monitoring Platform brought a steady stream of visitors to our stall. Accuracy and granularity of monitoring the trading infrastructure and the details of the messages traversing it is an necessary for obtaining the insights that will deliver trading advantages.

Any visitor to the event who was unfamiliar with Corvil would have gone away with a much better understanding of what we’re all about. Job done.

Learn more about our Trade Execution Monitoring and Analytics

Corvil in the Spotlight at TradingTech Summit

Alexzander Leslie, Sales Development Representative, London, Corvil
Corvil is the leader in performance monitoring and analytics for electronic financial markets. The world’s financial markets companies turn to Corvil analytics for the unique visibility and intelligence we provide to assure the speed, transparency, and compliance of their businesses globally. Corvil watches over and assures the outcome of electronic transactions with a value in excess of $1 trillion, every day.

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