#BuyANDBuild: how Itiviti provides for the best of both worlds

By Jesper Alfredsson, President, Americas
November 10, 2015
Share:

There is a growing market acceptance that trading systems don’t necessarily need to be entirely customized and proprietary in nature to be competitive. As market participants see the complexity of maintaining proprietary trading technology, availability of standards-based low-latency platforms, and the increasing regulatory requirements; firms are re-evaluating how to best deploy and support their technology stack.

At Itiviti, we see a trend emerging where firms buy components and integrate these with existing trading infrastructure. Itiviti customers are leveraging our next generation trading platform in a way that enables them to plug in new capabilities with app-based solutions.

Let’s explore how to take advantage of #BuyANDBuild innovation, how the trend has emerged and how Itiviti offers a viable alternative to traditional development of in-house trading solutions.

Leveraging the #BuyANDBuild concept

While customized trading logic cannot be part of an out-of-the-box solution, there are generic components in any trading system. For example, connectivity to trade on an exchange as well as modules for managing market data, transactions and positions are always required. However, it makes less sense to custom build such functionality as it becomes increasingly commoditized.

Large firms that have traditionally developed software in-house are recognizing that building a full trading technology stack is no longer a requirement for maintaining their competitive edge.

At the same time, smaller players can also benefit from buying and building. Where many firms have long faced prohibitive costs associated with custom software development, they can now afford to implement unique functionality.

Transparency to facilitate customization

While typical hurdles for acquiring third-party systems include an inability to adapt to existing trading infrastructures, lack of control and concerns over performance, Itiviti has designed our next generation platform with these challenges in mind.

For example, Itiviti believes that markets participants need control over the direction of their business. We prove this by offering transparency, including access to business logic source code, which greatly facilitates building proprietary additions.

Finally, knowing there are future market unknowns, all Itiviti platforms and solutions are designed with flexibility in mind. The front end can be adapted to the workflow needs of individual traders, the modular architecture can be adapted to address the context-specific needs of existing infrastructure and Itiviti customers can extend existing execution strategies, pricing logic and user interfaces.

If you are interested in learning more about the #BuyANDBuild trend or about Itiviti’s next generation platform, please visit Tbricks by Itiviti.

Related Content

Benefitting from convergence in FX and equities

Benefitting from convergence in FX and equities

Trading As discussed in an earlier blog post, convergence of equities and FX markets is spurring some institutions to merge their respective trading operations so as to enjoy economies and leverage successful activities across both asset classes. But for firms taking this route, there are significant challenges. Despite the convergence of FX and equities markets, there […] January 14, 2019

MiFID II: turning challenges into opportunities

MiFID II: turning challenges into opportunities

Risk & Compliance MiFID II posed a significant number of challenges for trading firms across Europe, but its regulatory impact has perhaps not been as dramatic as many had anticipated. Although many analysts predicted the imminent failure of smaller market players and potentially serious consequences for firms undertaking systematic internalization, the regulation came into play without creating quite […] January 7, 2019

MiFID II: identifying SI opportunities

MiFID II: identifying SI opportunities

Trading On December 5th 2018, Itiviti’s Systematic Internaliser solution was named Best New Technology Product – Trading and Execution at 2018 FOW International Awards. In this article, Itiviti’s Jonas Lindqvist explains how Itiviti was already working with clients to identify the opportunities offered by the SI regime on MiFID II’s January 3rd go-live date. In the […] December 17, 2018

The integration of high and low touch capabilities in automated trading

The integration of high and low touch capabilities in automated trading

Execution Change is nothing new in trading. Since the millennium, sell-side brokers have had to ride waves of transformation in regulation, market structure, technology and economic fundamentals. Survival and success have depended on adaptability and timely adjustment to these increasingly complex market circumstances in terms of organization, business models and technology. The financial crisis of 2008 […] December 10, 2018

Itiviti Talks

Get our view on global capital markets

Subscribe

Subscription successful

Thank you for subscribing!

Close window

Itiviti Talks

Get our view on global capital markets

Weekly email

    Trends in global capital markets from a technology perspective.

By submitting this form, you acknowledge that data collected by us will be handled in accordance with our Privacy Notice.