New research produced by GreySpark Partners, a leading global capital markets consultancy, makes the case for a new form of pre- and post-trade TCA reporting that utilises a breed of Big Data known as Smart Data to provide buyside firm trading desks and their end-investor clients with a greater understanding of the quality – as opposed to just simply the ‘effectiveness’ – of trader decision-making on an order-by-order basis.
Beginning in the early 2000s, when the algorithms and software capable of performing transaction cost analysis (TCA) on a semi-automated basis first became prevalent, the definition of the function was always: a method of determining the effectiveness of a set of transactions performed by a counterparty – the key word within that definition being ‘effectiveness.’
In 2019, the global financial services industry is set to spend an estimated USD 50bn on the raw, historical markets and transactions data inputs required to fuel a broad spectrum of daily trading activities across all major asset classes.
New GreySpark Partners research outlines the significant potential for financial markets firms to transform huge quantities of Big Data into actionable information – Smart Data – through specialised analytics
