Liberum is to meet strong client demand for better liquidity in the trading of large blocks using the new Turquoise Block Discovery™ service, one of the first brokers to be able to offer it.
The development of LibBlock, Liberum's proprietary routing tool, opens up a new destination for large-block trades that meets buy-side demand for priority by size, which can boost fill rates for larger orders. Minimum execution sizes can also be defined, contributing to lowering the end-to-end cost of trading.
Liberum, a seven-year-old independent London investment bank, is one of the first brokers to be able to offer the service.
“Regulatory changes are beginning to meaningfully impact the electronic trading landscape, and Turquoise Block Discovery™ is a smart mechanism to meet demand for block trades at mainstream destinations,” Liberum’s Head of Trading, Dominic Lowres, said.
“We’ve seen remarkably strong support from our clients for what this service can potentially offer,” Lowres (pictured below) added.
“Turquoise is delighted Liberum is adding Turquoise Block Discovery™ to enhance service to customers that know Liberum for its strength in UK Small and Mid Cap securities with plans to grow in European names and sectors. Turquoise Block Discovery™ is an innovation responding to investor demand for large-in-scale trading and MiFID II.” said Robert Barnes, Chief Executive Officer of Turquoise.
Societe Generale provides access to Turquoise Block Discovery™, extending Liberum’s partnership with the bank and its portfolio of electronic trading tools.
LibBlock is available to clients as a third route to dark liquidity. This is in addition to LibDX1 and LibMid which means that the full optimized suite of dark venue access across all trade sizes is available in one place with one set of proprietary tools.
Turquoise Block Discovery™ aims to increase probability of anonymous matching in larger sized orders within Turquoise Uncross™, the periodic random uncrossing mechanism within the Turquoise Midpoint Dark Book. Turquoise Block Discovery™ identifies potential matches from block indications and firm resting orders in Turquoise Uncross™, where members have opted in to use the service. If a potential match is found, the owner of the original indication has 0.5 seconds to send a firm qualifying block order to Turquoise Uncross™, thereby maximising available liquidity for customers of both services.
Liberum, voted this year as the number two Small & Mid Cap Brokerage in the Thomson Reuters Extel survey of institutional investors, is expanding into Continental European large cap companies and recently began coverage of companies such as RWE, E.ON, JC Decaux and Stroer, with more to come in the coming weeks.
We trade in more than 900 stocks in 15 European markets and access 24 markets with our low-touch electronic services. We are a pan-European investment bank founded in 2007 providing research, sales, trading and corporate advice to European and North American institutional investors and companies. We cover 334 stocks in 18 sectors with 42 analysts and are owned by our 172 staff. The bank has been involved in 25 IPOs and raised £1.7 billion for clients in the year to October 2014.
Turquoise is the pan-European equities multi¬lateral trading facility majority owned by London Stock Exchange Group in partnership with the user community. Turquoise provides members with a single connection to trade shares, deposi¬tory receipts and exchange-traded funds of 18 European countries with an efficient trading and interoperable post-trade model that delivers economies of scale. Mem¬bers include banks, brokers, specialist trading firms and retail intermediaries.
Dominic Lowres, Head of Trading, Liberum +44 (0)20 3100 2103 firstname.lastname@example.org
Michael Wackar, Electronic Trading Products, Liberum, +44 (0) 20 3100 2104 email@example.com