ITG Acquires ESP's Settlement Aggregation Software

With acquisition, ITG boosts its offering of single ticket clearing for institutions doing algorithmic trading across multiple venues.

Investment Technology Group (ITG) said it acquired the Clearvoyance settlement aggregation software from ESP Technologies Corp. Details of the transaction were not disclosed.

ITG said the combination the current ITG Single Ticket Clearing offering with Clearvoyance will become the industry’s leading trade aggregation offering.

The new global offering known as Single Ticket Clearing consolidates allocation and settlements for institutional investors executing trades across multiple brokers and execution venues to a single aggregated allocation and delivery to each custodial account. This can provide significant cost savings in custodial ticket charges and back-office costs and creates a competitive sales advantage for ITG’s institutional clients, said the company in today’s release.

“This deal enables ITG to better serve its clients with a holistic view of trade cost management, from pre-trade analysis and decision support all the way through efficient settlement and clearing,” said Stephen Alepa, managing director and head of ITG's broker-neutral ITG Net business. “Our expanded Single Ticket Clearing offering empowers buyside traders to pursue their best execution goals in a fragmented marketplace, secure in the knowledge that their trade ticket costs will be contained.”

Commenting on the deal, long-time ESP aggregation client Bill Stephenson, head of global trading strategy at Franklin Templeton, said, “As an early adopter of trade ticket aggregation services, we have achieved significant benefits in terms of lower costs, streamlined client servicing and increased trade flexibility. We look forward to employing ITG’s enhanced Single Ticket Clearing solution and deriving even more benefit from the expanded offering.”

Ivy is Editor-at-Large for Advanced Trading and Wall Street & Technology. Ivy is responsible for writing in-depth feature articles, daily blogs and news articles with a focus on automated trading in the capital markets. As an industry expert, Ivy has reported on a myriad ... View Full Bio