Automated Algo Trading Market

The automated algo trading market is expected to experience a steady boost during the forecast period, owing to the participation of international markets leading to efficient allocation of savings globally. This also helps countries create portfolio diversification and mutual risk sharing opportunities, which is in turn expected to drive the global automated algo trading market. The liquidity in equity market due to integration of financial markets is a major factor that would drive the automated algo trading market during the forecast period. Multi-national investment banks generating high revenue are making significant investments to develop and upgrade their own automated algo trading strategies and platforms.

However, increase in the amount of data to be processed and increasing demand for data processing speed are some challenges that the automated algo trading market is expected to face during the forecast period. Along with several benefits, there are certain risks as well to automated algo trading. Sudden system failure; time lags in orders and executions, erroneous network connectivity; and imperfect algorithms could bring the automated algo trading infrastructure down.

Automated algo trading: Competitive Landscape

The automated algo trading market is considerably competitive with continuous product and technological developments by already established as well as new players. Some of the key players in the automated algo trading market are Vela, AlgoTerminal LLC, Cloud9Trader, Quantopian, Trading Technologies International, Inc., QuantConnect, AlgoTrader GmbH, InfoReach, Inc., Tethys Technology, and Citadel, among others.

Automated algo trading: Technology Innovation

Automated algo trading technology is continuously upgraded to facilitate the industry. In February 2018, Fidessa Group PLC announced a partnership with Virtu Financial. This partnership, in the automated algo trading sector, aimed at enabling clients to access Virtu Financial’s fully disclosed and transparent liquidity, together with upgraded upstream workflow in order to manage more complex trading environment that the brokers find themselves in.

Automated algo trading market, at the moment, is experiencing significant developments driven by various vendors in the space. In January 2018, Zerodha partnered up with Streak, a start-up, in order to provide an automated algo trading platform where traders can develop algorithms to generate trading signals for selling or buying stocks without any coding requirements.

Automated Algo Trading: Market Segmentation

Automated Algo Trading: Regional Outlook

North American market, being the most prominent in automated algo trading market globally, is expected to lead the global revenue generation owing to the technological advancements and significant penetration in the financial markets.

APAC market is estimated to grow steadily and enhance its market presence in the global automated algo trading market owing to the rapid growth in economies of countries like India and China.

The report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain. The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.

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