Asia Awards 2021: Best TCA solution—Quod Financial

Capturing the plaudits in the best transaction cost analysis (TCA) solution category is London-headquartered Quod Financial. By providing real-time insight on how market conditions, trading behavior and volatility are impacting trading performance, Quod TCA enables traders to monitor and improve execution decisions across multiple asset classes.

Quod TCA’s key strength is its ability to convert the output of a TCA report into practical changes to execution management systems (EMSs). This is achieved through the use of machine learning (ML), thus removing the need for traders to interpret the TCA and take action. For instance, its probabilistic ML approach can predict price reversions, adjust the model from real-time observations, and provide predictive analysis on the trading impact of a given strategy.

Recent developments from Quod Financial include expanded use of artificial intelligence (AI)/ML in trading workflows, which provides context-based feedback to traders on a per-stock, per-asset class basis using live market intelligence. It is also looking to increase the use of AI/ML in real-time, algo trading behavior. For example, it is currently rolling out its new capability to adjust peg-offsets in real time across all asset classes. To support these efforts, Quod Financial has formed a new dedicated quant team in Paris to drive data innovation.