UBS launches Canada-U.S. interlisted algorithmic trading

Date: Friday, February 4, 2011
Author: Investment Executive

UBS has launched interlisted algorithmic trading for clients trading equities listed on both Canadian and American exchanges, the Swiss wealth management company said Thursday.

“The trading volume on Canadian and US exchanges of inter-listed stocks can reach into the billions of shares daily,” says Rick Meslin, CEO of UBS Securities Canada Inc. and head of Canadian equities. “With these volumes driving potential cost savings to clients it was imperative for us in this age of ‘Algo 2.0’ to build a better mouse trap. And we have.”

The new technology can post and track volumes in both markets simultaneously. Clients will see an improvement in clarity of overall liquidity and significantly reduce the risks of opportunity cost and negative selection.

“Canadian clients can access seven different algorithmic trading strategies, and U.S.-based clients can access over a dozen strategies and tactical order types,” explains Owain Self, global head of algorithmic trading at UBS Investment Bank. “Our goal for this offering was to look at the challenge of trading interlisted stocks in a new way -- and resolve issues clients previously had to grapple with.”