TT Unveils MultiBroker Platform

Since 2008, the buy side has increasingly turned to a multi-broker structure so as to reduce risk and to better mask orders, thus increasing client demand for this solution, says Tim Geannopulos, executive vice president of global sales at TT.

"The fastest growing segment for TT is the buy side and they felt like it was important for their operations to be able to have multi-broker functionality," he says. "With this solution, they can allocate trades through one TT screen for several brokers."

The MultiBroker solution, which took several years to develop and launch, can help firms to mitigate their risk by spreading out the number of brokers they are sending trades through. If one broker has "viability issues," then firms have a variety of backups rather than getting stuck with one or two brokers, says Geannopulos.

"From the buy-side standpoint, in order for them to conduct their business—for all kinds of reasons for risk mitigation—they need to have multiple brokers for their execution," says Tom Haldes, group product manager for buy-side technology at TT.

By using multiple brokers, firms can also better mask their intentions and total positions, he adds.

Additionally, officials say that MultiBroker allows sell-side firms to better differentiate themselves to the buy side because the system can support different rates/margins, research, asset classes, trading support and capital introduction.

TT had been in beta with "a handful" of buy-side firms both in the US and internationally since January. Starting today, several firms have executed trades through the MultiBroker solution.