ITG announced an update to the Hedge Pro Algorithm with a switch trade execution strategy that it says will enable traders to maintain dollar neutrality when executing pair trades. The new strategy also enables traders to define the sequence and urgency level of their trades, the company added.
"Switch Trade allows users to efficiently exchange one position for another by contemporaneously managing cash and minimizing leg risk," ITG Managing Director Jeff Bacidore said in a statement. "ITG Hedge Pro Algorithm with switch trade provides a powerful tool to achieve best execution for institutional investors confronted with this challenge."
In addition to the U.S. and Canada, ITG noted that the update to its Hedge Pro Algorithm is also available in Brazil and Mexico.