On Point Executions Offers Options Smart Order Router Via Bloomberg EMSX

On Point Executions LLC, an agency broker-dealer, announced that its smart option order routing system, STING, is now accessible via Bloomberg’s EMSX, which is expanding its capabilities as a multi-broker options execution management system (EMS).

The On Point STING routing logic uses empirical data to determine which destination will yield the optimal execution, according to the firm’s release. On Point’s proprietary options routing algorithm interacts with liquidity pools with preferences defined according to best price, and past performance of how the provider interacted with order flow. STING’s “sweep” function can buy all posted offers or sell all posted bids in an instant and ensure that customer orders interact with non-electronic and electronic ally posted liquidity pools on multiple exchanges simultaneously. STING then monitors all existing market centers for execution quality and applies this data to determine the most efficient execution venues to route orders, according to the release. It has the ability to garner more liquidity by analyzing the intricate pricing and decision-making logic of market participants so as to provide superior execution quality and added value to On Point customers, stated the agency broker in the company’s release.

The release of On Point’s availability on the Bloomberg coincides with Bloomberg building out the options broker network, according to company information. Bloomberg now allows users to directly access more than 20 options execution destinations, connecting to brokers’ electronic execution systems including algorithms, smart order routers and sales desks. Bloomberg users can hit OMON to access the options pricing monitor and then generate options orders for a designated broker destination. In addition, Bloomberg offers integration with third-party OMS and risk systems through the FIX protocol. Also, traders have access to Bloomberg’s expansive universe of market data and analytical information. For example, options traders can monitor real-time Greeks alongside their options orders from a single consolidated blotter in EMSX. Traders can also monitor their option risk and/or the consolidated risk across the desk or group of traders in a team view. Equity traders can also leverage real-time options data to set up alerts based on unusual volume patters in the options market. Bloomberg EMSX currently supports options contracts listed on any of the seven US options exchanges. Bloomberg expects to bring this capability to non-U.S. listed options in the future.

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