Be it for cost-cutting purposes, seamless execution or ease of transacting reverse inquiry business, the electronic structured products business has emerged, in recent years, as one of the centrepieces of private banks’ pursuit of scale in Asia. Ultimately, the promise of increased margins on client-directed trading, deeper client relationships due to a reallocation of resources, and greater conversions of client assets to fee-based offerings have enticed many to test the multi-dealer platform space.
Given that market conditions have not been favourable for field testing the automation of large volumes, 2016 has proven a tough year for gauging the absolute effectiveness of multi-dealer platforms. Invariably though, exceptional multi-dealer platform providers hold a long-term mentality and the belief that a business driven by markets and appetite demands perseverance.
One such provider has remained resilient amidst financial, economic, and political headwinds. Contineo, the equity-linked platform supported by a gallery of bulge bracket providers, experienced an exponential growth in orders and a doubling client base in what managing director, Mark Muñoz, calls a banner year.
“The volume increase was not deterred by overall market performance as we rolled out access to relationship managers and more trade desk users,” he says.
Muñoz attributes Contineo’s success to a number of developments to the platform, with the firm rolling out updates to tools like Contineo I/O, a data service that allows for market analysis through evaluation of user data. Thus far, these updates have numbered an impressive 50, including the implementation of utilities for the amendment of orders and the uploading of complex pricing requests through spreadsheets.
“These new features are widely praised by our clients and have also increased the amount of flow the firms trade electronically,” he adds. “We are very excited for the next steps in the company’s growth. We are currently working with our clients to determine the next set of payoffs and how we can assist in post-trade services, as well as further enhancing our new data services.”
For its continuous commitment to enhancement and a raft of new milestones achieved, Contineo has been voted as this year’s Best Multi-dealer Platform.