State Street purchase Automated Agency Broker

State Street is expanding its presence in the automated trading space as it announces the acquisition of Pulse Trading a Boston-based agency brokerage firm offering block crossing and blotter scraping technologies as part of its electronic trading capabilities. State Street, a provider of custody and asset management services, said it entered a definitive agreement to buy the firm in an announcement today.

The deal is expected to close in Q4 2011, pending regulatory and other closing conditions, according to State Street’s announcement today.

The transaction includes the acquisition of Pulse Trading’s institutional equities business and approximately 40 employees in Boston, New York, St. Louis and San Francisco.

“We look forward to joining State Street where we will continue bringing best-in-class trading technology to our institutional clients,” stated Christian Dubois, managing partner at Pulse Trading, in the release. According to Dubois, the acquisition will allow Pulse to extend its reach through the combination of its products with State Street’s scale and institutional client base.

“The acquisition of Pulse Trading is a natural extension of State Street Global Markets’ neutral agency model,” comments David Puth, EVP of State Street Global Markets.

“Pulse Trading’s sophisticated technology and block trading capabilities will expand the number of Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term venues and the range of electronic trading tools available to our clients and ultimately help lower their trading costs.”

Pulse Trading has proprietary technology, known as BlockCross, that aggregates block orders from algorithmic order flow. It connects with algo pipes from the top brokers. Pulse looks for crosses by sweeping the uncommitted order flow residing in Buy-Side Buy-Side The buy-side is comprised of firms in the financial industry that purchase securities and are accompanied by account investment managers, pension funds, and hedge funds.The buy-side is composed of those that buy and invest large sums of securities with the intention of generating a lucrative return or have their funds managed. The Buy-Side ExplainedIn terms of Wall Street, the buy-side includes investment institutions that purchase securities, stocks, or other financial instruments with the aim The buy-side is comprised of firms in the financial industry that purchase securities and are accompanied by account investment managers, pension funds, and hedge funds.The buy-side is composed of those that buy and invest large sums of securities with the intention of generating a lucrative return or have their funds managed. The Buy-Side ExplainedIn terms of Wall Street, the buy-side includes investment institutions that purchase securities, stocks, or other financial instruments with the aim Read this Term trading blotters against the incoming algo traffic.

State Street has come under the radar after SEC was investigating their FX pricing, investigation is still taking place.

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