Tag Archives: omex trading systems

ETF News, People Profiles, Strike Price, Tech Talk

Trading Systems Vendor to ETF and Options Trading Firms Ups Ante

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New York, NY, July 10–OMEX Systems, LLC (“OMEX”), the provider of broker-neutral DMA and OEMS trading systems for broker-dealers and buy-side investment firms active in stocks, options and futures announced the addition of 2 more trading technology veterans to the firm’s New York office, bringing the 5-year old company’s total staff of sales, client support and software programming to 22 professionals.

Joining the firm as Head of Sales is Antonio Panos, the former co-founder and sales director for Mixit Systems, Inc., the sell-side equities trading system vendor which first came to market in 2002 and was acquired in 2011 for $20 million by UK-based futures market vendor Patsystems Plc.  In addition to Mr. Panos, Matthew Weiss, a 15-year trading technology veteran, has been appointed Head of Client Support for OMEX. Mr. Weiss was most recently VP of Buyside Sales for Blockcross ATS; he previously held senior sales management roles for industry icons Lava Trading (a Citigroup subsidiary), NYSE Group’s Archipelago Holdings and MB Trading.

Given the scarcity of truly comprehensive and cost-efficient broker-neutral DMA/OEMS platforms, during the past 4 years New York-based OMEX has morphed from an “under-the-radar technology boutique” to a sought-after solutions provider for both sell-side and buyside firms. The multi-asset OMEX platform is designed for firms that require a full suite of order execution management, risk controls, commission management features, multi-custodian trade allocation and straight-thru processing in one, easily-customized platform; features that are typically only attainable by mashing up disparate software products from multiple, premium-priced vendors. Continue reading →

Tech Talk

Trading Technology Vendor Touches ETF Space; Game-Change Create/Redeem Widget for APs and Execution Desks

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MarketsMuse team picked up on recent news release from broker-neutral OMEX Trading Systems that included a brief mention of a new feature [built by special request] that analyzes whether its cheaper to effect a “create” vs. executing in the ETF cash market, and implements the create through a basket-trade application.

Other new system enhancements from this boutique trading system and DMA provider include an assortment of new FIX connections to various clearing and custodian destinations, an updated menu of algorithms, a widget for multi-custodian trade allocation, DMA to futures markets, more listed options trading tools (including unlimited-leg option spread orders), updates to charting and Level II displays, and a range of updates to the OMEX back-office, accounting, compliance and risk management modules.

According to OMEX Chief Operating Officer John Houlahan, “Its becoming harder for us to stay “below-the-radar”, only because we are increasingly displacing various trading system vendors who merely offer components, as opposed to an all-in-one solution that delivers uniquely robust front-end DMA, OMS and EMS functions, as well comprehensive risk management tools, compliance, reporting and accounting modules for broker-dealers, as well as for select hedge funds and RIAs.”  Keep reading for the link to the release.. Continue reading →

Tech Talk

Fragmentation Harming Market Quality, Warn Traders

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Courtesy of MarketsMedia

With new trading venues catering to institutional investors ready to enter the fray, market participants say that more fragmentation is not necessarily the solution to cure market imbalances.

‘Fragmentation of the markets is not a good thing for long-term investors,” Manoj Narang, chief executive and founder of Tradeworx, a hedge fund and technology firm, told Markets Media. “Regulators need to look at ways to defragment the market. The more different venues there are, the more traders who are technologically sophisticated are at an advantage.”

Narang asserts that market fragmentation hurts, rather than helps, longer term investors because the technology utilized by institutions is not as sophisticated and advanced as those used by high-frequency trading firms. They are less able to effectively wade through the plethora of lit and dark venues in the markets.

“Having more trading venues just complicates matters,” Dennis Dick, a proprietary trader with Bright Trading, a prop trading firm, told Markets Media. “We keep adding more and more layers, adding exchanges and adding dark pools, to try to find a solution, but really the solution is to break it down and start simplifying it all.”

Noted John Houlahan, Chief Operating Officer of OMEX  Systems, a broker-neutral order routing and risk management platform that provides direct market access to major equities and options exchanges as well as so-called “dark pools” for broker dealers and buyside firms, “We seem to spend as much time adding routes to new exchanges and ECNs as we do building order and risk management applications. I’ve been in this business for 20 years, and I find myself scratching my head when discovering yet another new “liquidity center”, but with a different ‘spin’ compared to already-existing exchanges.

There are currently 13 equities exchanges in the U.S., along with nine options exchanges. Many of the exchanges are operated under the same corporate umbrella, with NYSE Euronext and Nasdaq OMX each operating three equities markets and two options markets apiece. This is an addition to the 40-50 dark pools operated by independent firms and broker-dealers.

“Do we really need 13 exchanges and 50 dark pools and 200 internalizing broker-dealers,” said Dick. “I know the Securities and Exchange Commission had good intentions with Reg NMS but now we’ve gone too far the other way. We need to start simplifying. The solution is not to add more dark pools.” Continue reading →