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Cheevers Partners with TCA Provider Quantitative Services Group |
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Cheevers utilizes QSG measurements to identify the best performing strategies
QSG tools allow Cheevers to measure execution quality using metrics designed to meet the challenges of today’s more competitive trading environment
Those interested in improving their success in managing liquidity are in need of better designed analytical guidance. The adage you can’t manage what you don’t measure rings true when it comes to liquidity.
The ability to separate a standard implementation shortfall measure (Execution Differential) into its constituent parts of Liquidity Charge® and Timing Consequence® has dramatically changed our understanding of liquidity costs. The Liquidity Charge is based on QSG’s patent-pending technique that isolates the cumulative price impact specifically resulting from an order’s individual executions. The calculation examines the market conditions related to each individual execution that comprises a completed order.
This analysis is accomplished by matching each time-stamped execution from a given order to the trade and quote data for the security. Any price concessions (adverse ticks) directly related to the executions are identified and accumulated over the life of the order. These cumulative concessions provide a unique insight into the liquidity dynamics that existed during the execution period.
Cheevers systematically evaluates each of your trades to focus on minimizing your implementation costs and maximizing your net alpha.
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