| Headline: Smiling through a bear market Source: Euromoney Date: October 2001 Author: Rick Butler Whether it’s labelled programme trading or portfolio trading, the provision of cut-rate execution for liquid securities is a cash cow for banks and brokers. Despite low margins and dismal prevailing market conditions, institutions are still piling into the business. Just how high can an essentially commoditized service rise?
“There is nothing but good news in terms of flow and what we can expect from upcoming business,” says Tony Nash, Deutsche Bank’s London-based head of European programme trading. “We’re expecting exponential growth year on year in the fourth quarter and the prospects are equally as good for the new year.” It is easy to write off such unbridled optimism as cheerleading among bonus-hungry bankers caught in a prolonged market slide. | |||||||||||||||||||||||||||||||||||||||||