Norges Bank Investment Management has completed the first trade on Appital and Turquoise’s algorithmic bookbuilding platform, BookBuilder.
BookBuilder gives institutional investors the ability to proactively source liquidity, the first buy-side to buy-side bookbuilding platform to do so. Alongside this, buy-side firms will benefit from price formation opportunities for illiquid equity positions, and the opportunity to execute large volumes on the Turquoise Multilateral Trading Facility (MTF) with minimal market impact or risk of price erosion, claims Appital.
Straight through processing (STP) of execution to settlement goes through Turquoise to ensure on-time delivery to the correct settlement destination. Deal originators will be able to make distribution adjustments throughout the bookbuilding process in real-time. Post-trade price discovery is then broadcast in line with transparency requirements.
Robert Barnes, group head of securities trading and CEO of Turquoise, says: Appital Turquoise BookBuilder delivers the next significant efficiency for asset managers and contributors of capital. Where bookbuilding is the appropriate mechanism to find the right price for large block trades, Appital Turquoise BookBuilder innovates with the world's first automation of buy-side bookbuilding seamlessly integrating STP trading to settlement.”
Mark Badyra, CEO of Appital, adds: “The launch of Appital Turquoise BookBuilder represents a step change for the asset management industry in the way they unlock and proactively drive liquidity in the market, ushering in a new era of automation in equity markets. The buy-side community now has greater exposure to deal flow opportunities they have not been able to access before, and investors can interact with like-minded institutions in the liquidity and price formation process.”
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