Key reviews of the event & what the buy side are expecting in the next 12 months
TradeTech Australia 2012 was different to our previous shows because it focused strongly on High Frequency Trading and its impact on trading best execution processes and the evolution of technology platforms. This seemed like a risky strategy on our part because we know that HFT is a rather divisive topic. However our research proved that even traditional asset managers who may have negative views on the topic still wanted more information on how to protect themselves from predictor HFT tactics.
The end result was a room filled with Buy-side specialists including the cream of Australia's HFT sector. The networking was excellent – the best we have seen in any of our Australian events. This may have been assisted by having the event on one day only – and using streams to separate the audience into the trading and technology job titles – bringing both streams together for the breaks. We originally planned on an additional quant stream but decided later to incorporate this within the existing streams due to venue space limitations. However there was still lots of content for traditional asset managers including topics related to economists forecasting future successful investment strategies, how to profit from volatility trading, and risk modeling for quant hedge funds.
We know that our Australian audience has different needs from our Asian market. Australia is one of largest HFT hubs in APAC and as such, the impact of HFT is going to be felt more strongly. The market is also rather isolated due to distance and lack of competing venues. This means it is very interested in global technology trends related to coping with fragmentation, dark pool strategies, benefiting from colocation, and how to balance the use of low latency technology against the need to carefully manage the budget. In this regard, our technology stream proved valuable to those with a technology background. We all know that mastering technology is the key to a successful trading future.
Moving forward, we will keep the same one day format which ensures the event stays sharp and relevant to the local crowd which is primarily based around Sydney and so more easily able to network outside our event. We will also retain the separation between trading and technology but keep the HFT-automation central theme. It seems highly likely that we will also revisit the investment-modeling themes as this helped to draw in more asset managers who naturally have a tendency to rely upon their brokers for trading technology strategies. Australia probably has only 20 large Buy-side heads of trading so relying upon them for conference perspectives is always going to be a challenge.
While we thought that the introduction of Chi-X and the upgraded ASX technology platform would be a noteworthy topic of discussion, it turned out that this wasn't so because the introduction of messaging fee had negatively impacted Chi-X's performance. It was attracting just above 0.5% of market share at the time of the event which will be a cause of alarm to everyone interested in maintaining a competitive venue market. The ASX for its part also preferred to keep a fairly low profile as its platform is still in its bedding down phase. The keen interest of the international trading venues who attended the event suggests local players should prepare for more competition in their space.
In 2013 we predict that this event will feature many more technology managers as word spreads that this is the must attend event for trading and investment professionals who want to utilize best of bred technology enablers to create new profits in the age of automation. At this stage we are the only event in town with a proven record in the trading automation space. We will certainly be introducing our large global trading technology vendor market to our Australian delegates who have shown themselves to be very interested in taking advantage of new technology. 2012 was the test year for our new approach to TradeTech in Australia.
Watch this space for an event better event in 2013! For more information, please contact the event producer on: rod.mclauchlan@wbresearch.com or phone +65 6408 9228
5 reasons why you should sponsor TradeTech Australia
- Australia is one of APAC's HFT with a keen interest in HFT and low latency technology but with few local vendors to offer globally competitive technology services and products
- Australia is now experiencing a fragmented trading landscape which includes new colocation services which means local firms are looking for assistance to tap the new sources of liquidity
- While global Australian based Sell-side and Buy-side firms may be well positioned with technology advantages, there is a large army of local players who need to stay competitive on technology and will be strong buyers in 2013
- WBR's trading technology expertise is well proven in APAC and now also in Australia with positive feedback on the business platform we provide for buyers and sellers of technology and services
- We have an event format that is ideally suited to technology vendors who want to meet technology managers keen to learn about the evolution of HFT and low latency strategies
To secure a premium exhibition or to discover a more lucrative sponsorship opportunity please contact:
Sponsorship / Exhibition
Commercial Director
Matthew Heynes
Phone: +65 6408 9236
Fax: +65 6822 7370
matthew.heynes@wbresearch.com