In light of the growing popularity of listed derivatives and growing client demand, BNY ConvergEx Group has launched a new options trading desk. Buy side clients can take advantage of either broker-assisted or fully electronic options trading via BNY ConvergEx.After acquiring LiquidPoint in July, BNY ConvergEx has integrated the company's technology and expertise in the agency options space and extended it out to buy side clients.
"This is part of our strategy to continue to broaden the trading capabilities and asset classes that we offer our clients," says Carey Pack, president of BNY ConvergEx Execution Solutions. "We've implemented the LiquidPoint technology here on our desk and we're aggressively cross-selling into our traditional client base."
Pack says clients are becoming increasingly interested in options trading and want a multi-asset platform to do so. "The options business is very much like the equities business, it's growing at a rapid pace and becoming more electronic," he adds.
"We offer a true choice platform. Clients can trade on their own with DMA for U.S. equities, global equities and now for options. Clients want to be global and they want to use one platform to handle different asset classes," says Pack, who adds that BNY ConvergEx isn't stopping at options and plans to expand into additional asset classes in the future as well.
BNY ConvergEx will offer the ability to trade U.S. options through its new DerivatEx execution management system or through the options trading desk. "Eventually we will be integrating DerivatEx into the Sonic platform and our OMS partner platforms and into the Eze Castle EMS/OMS as well," says Pack.
The DerivatEx platform will also provide server-based sweep algorithms, a high-speed router and technology to enter and manage multi-legged orders and provide direct access to the ISE and CBOE spread books. Frank Burnett has been tapped to head up the new options trading desk.