Algorithmic trading refers to the automated form of trading that uses complex algorithms to execute trades. It is also known as High-Frequency Trading (HFT) as it helps in executing more than ten thousand trades per second with its high speed and volume ensuring higher profits.
The reason why Algo trading established a significant ground in 2019 is due to its human error-free trading executions, low transaction costs, automated trade executions once present criteria are met and higher returns compared to manual trading. One of the popular algo-trading solution providers is Algo group. It leads the financial market for proving different kinds of trading systems like- Affiliate Network, White Label Robot, Algo trading robots, etc.
If you are wondering what are the other well known HFTs? Check out the following list.
1. Virtu Financial
It is a renowned and largest US-based HFT trading company that is famous for its transparent trading operations globally powered by cutting edge automated trading technology. The organization boasts of having the best trade execution technology and market structure expertise that bids in more than 19,000 financial securities like equities, commodities, fixed income, currencies, etc in 253+ venues and 36 countries worldwide. Its superior trading technology leads in providing customizable solutions to client for managing investment returns, trading operations and mitigates trading risks.
2. Citadel Solutions
It is another award-winning and a leading algo-trading solution provider having 15 years of experience in HFT trading platforms. It has trading partnerships with more than 500 global institutions that include the world’s leading government agencies, asset managers, banks, hedge funds, pension, retirement systems, and insurance firms. It trades with equities, options, fixed income, currencies, and commodities. It aims in providing world-class automated trading solutions with its unique set of trading tools and risk management strategies by cutting down the transaction costs of traders globally to meet their liquidity needs.
3. Two Sigma Securities
This is a famous US-based algo-trading solution provider that was established back in 2009. The organization is registered with the SEC and more than 8,000 US equity exchanges. It boasts in top class electronic trading powered by cutting edge technology that is dedicated to analyzing market microstructure, efficient risk management, and executing trades scientifically with systematic precision. The organization executes around 300 million trades each day striving to the client’s expectation and helps them have profitable return rates with minimum risks for each investment.
4. Hudson River Trading
HRT is a leading automated trading service provider having its establishment in different locations like US, UK, Singapore, Austin, Chicago, and multiple other areas. The organization is famous for its scientific approach for trading and having the world’s most sophisticated algo-trading system. It is an auto-trading research and development center having an expert group of mathematicians, physicists, computer scientists, statisticians, and engineers researching and developing advanced trading computing solutions. It is involved in 5% of US stock trading.
5. XTX Markets
This is another leading HFT trading organization having its establishment in New York, London, and Singapore. It has partnerships with several trading exchanges, e-trading venues, and counterparts to meet the liquidity needs of several clients across the world. It trades in Equity, FX, Fixed Income and Commodities. The multi-asset firm uses cross-asset correlations as its trading algorithm to provide consistent liquidity to all its trading clients. The company became the third largest liquidity provider in the foreign exchange market with 7.36% of the share and even rules the European market with an 11.5% market share.