The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Best practice in fixed income trading and execution

Best execution is a concern for most fixed income managers. MiFID and other regulatory initiatives are causing managers to take another look at the way they operate in order to ensure that they work to their clients' best advantage. Will Goodhart interviews three leading fixed income managers to learn more about the ways that they manage and evaluate their trading performance.

This article appears courtesy of Global Investor.

European Credit Management (ECM) was founded in 1999 and now employs more than 130 worldwide. Building from €155 million at inception, ECM now has €19 billion under management. The firm manages diversified portfolios of European fixed income credit securities on behalf of institutional clients. Estimated total trading volumes are around 5% of total AUM each month.

Stephen Zinser, CIO at ECM reports that, though few clients have yet shown significant  interest in best execution, the firm is focused on it. Notes Zinser: "Best execution is best achieved in practice by having a strong team with good eyes and a diverse number of counterparties with whom you can transact at all times. You can see who has which 'axe' at any given time.  At the last count, we had 24 lending or credit counterparties with whom we do business.

However, often the worst thing to do is to call up 10 people. The nature of the beast is such that, if you call up 10 counterparties for prices, you may think you've gotten best execution, but, in reality, all you've done is moved the market."

ECM has a prime broker that it uses to clear securities, but, says Zinser: "We're not dependent on them and, in fact, we've never borrowed from them."

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree