Brazil’s Caixa Unit IPO Concentrates on Investor Interest – Sources

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Caixa Economical Federal Bank is one of the leading banks in Brazil which is under state control. It has enough recognition in the country and is trying to gain some more investors interest in favor of insurance unit. Recently, it initiated its IPO for the first time and is now planning to include its insurance unit into it soon to attract numerous investors. Moreover, it is eager to include the unit as soon as possible so that strong interest of investors can be gained out within no time. Along with gain of investor’s interest, bank’s stock market deals may get improved by increasing the number of investors who are willing to deal stakes. Starting this month, bankers and executives of Caixa Economical Federal bank are working on IPO of Caixa Seguridade Participações SA. Not surprisingly, it got succeeded in attracting a large number of investors towards it, especially, in São Paulo, New York and London. Positive feedback got from the investors is the supporting fact of their success in IPO. This deal gained strong belief of investors and shown the strong impact on Brazil’s stock market with sudden changes took place in trading.

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Mapping the Algo Trading Across Asia Pacific

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The algorithmic trading strategies of Asia Pacific region is still in the phase of growth. Experts in the markets worldwide say that the Asia Pacific region is in the need of more consistency in their regulatory regimes. The markets of Asia Pacific have a great dynamics that shown the inconsistency of the market. This can only be controlled by the regulatory bodies. The promotion of best practices in the markets of APAC tosses the necessity of facilitating the standardization of algorithmic trading and having a control over it. The key features of the APAC markets on whole which gives way for better algo trading and also that affects the electronic medium are discussed below.

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5 Main Option Trading Strategies

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Option is the choices that an investor has while playing in the market. It is more to be called as a securities contract which will be giving you the right to make a call (buy) or put (sell) the index, underlying equities or even the ETF. This is to be done in the predetermined time i.e. before the expiration date, which is called as the preset time period in market terms. Also it is must to have the strike price for the call or put, which is nothing but the predetermined price for what is being bought or sold.

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Wild Treasuries Trading Encourages the Washington’s Transparency Push

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The history of swing that has rocked the treasury market with $12.7 trillion on last October is now spurring the authorities of US to consider the expansion of public reporting in trade activities on the government bonds. From the information available publicly about the transactions that takes place in the treasury and the pricing of bonds under recommendation on the page 76 report says that the treasury department is seeking for prevention of excessive volatility in the market. The report was published on last Monday. The yield on last 10 years Treasury note have not plunged the markets as the 0.37 percentage point that happened on October 2015.

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Dark Pool – The New Algo Trading Strategy

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Algorithmic trading has already revolutionized the whole world market. At this scenario it is important for everyone to know various strategies that are playing well in the algorithmic trading. Especially it is must for investors who make bulk investments in the market believing the algorithmic trading. But when it is about bulk investments, the major issues what the investor face is the transparency. The investor being open about his trade in the market will let him get cheated easily by the black marketers. Hence it is important for them to hide their trade. Dar pool is the best strategy to hide these trade details of an investor from other marketers.

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Acceptance of Algo Trading in Indian Stock Market

Bombay Stock Exchange, India's oldest stock exchange, is seen September 18, 2003. Foreign fund inflows to India, a key driver of the share market's rise of over 22 percent this year, will not be much affected by a court ruling that has stalled the government's privatisation plans, fund managers said on Thursday. REUTERS/Sherwin Crasto SC/FA

The Securities and Exchange Board of India has told the brokers to share the facilities of Algo trading and direct market access to the institutional clients almost a year back. This means of alternative trading methods has quite reached many marketers by the time. But still the institutional clients are offering their orders to the brokers in the same old traditional methods who then will be entering those data in to the exchange’s database. Both the markets in India repeat the same. But it is soon expected that many foreign brokerages will slowly start sharing their algorithmic products with the Indian marketers.

Credit Suisse’s announces algorithmic trading in India

Advanced Execution Service that belongs to the Credit Suisse has told very recently that they may end up in entering into the algorithmic trading in the Indian market. It is already offering direct market access facility to the clients from the year 2008. Some other leaders in the electronic industry like JP Morgan, Goldman Sachs and the Citigroup are now involved in the procedures of launching algorithmic trading service in the Indian market. Few other companies are already offering the service in the Indian market. E.g.: Merrill Lynch.

The entry of the top level players as foreign investments is really appreciable as their clients here are already using the same technology for their trade and order executions. It is expected soon that the Indian markets will be facing the algorithmic trading technology and the orders at a real faster rate. Few more companies are yet to announce about their launch of algorithmic trading. Marketers says that the chances of Indian market going in to algorithmic trading completely or up to a greater extend is very high in future as the major investors in the market are moving towards it and some are in the process of learning it. Read More on Algo trading course

Why does the delay happen?

The head of AES, Ian Smith has given a statement regarding the delay in the market to get adapted to the Algorithmic trading. He told that AES being a leader in the market is trying to provide all the best strategically possible trading terminologies to their clients in the market. And hence it will surely take time for them to alter the necessary things and give away a full fledged service. The timing at which SEBI announced the trading technology is another reason. The announcement of facilities of DMA and algorithmic trading has taken place in the year 2008 and the market faced a steep fall of equities the same year. This made many marketers to turn towards the issue, rather than the new technology.

Indian market is slowly getting adapted with the algorithmic trading. With many leaders in the market moving towards the algorithmic trading, the trading strategy is getting popular in the market now. Many investors who were the clients of these leaders have also started to make use of the strategy. With this scenario it is quite easy to say that the Indian markets will get into a higher percentage of algorithmic trading soon.

RBI Has Cancelled 3 Out Of 4 Bond Tranches at Auction

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The Reserve Bank of India has cancelled out three bonds out of four, which were actually planned for sales on this Friday. The cancelled bonds belongs to the series of sovereign bonds and thus the move made by the RBI was told that it is showing the unwillingness of the government to borrow the bonds at a very high rate and also the government’s position of surplus cash. Marketers and traders also give many other reasons for the move of RBI. But the majority says the same reason of surplus cash and unwillingness.

Rs 15000 crore bond sale offer

RBI has offered a sale of Rs. 15000 crore bonds and the maturities of these bonds range from 9 years to 29 years. But the total sold out bonds by the central bank is just Rs.6000 crore whereas the other three security bonds were cancelled out. The maturity of the bonds sold out was till 15 years. Rate of interest strategist at the SBI DHFI Soumyajit Niyogi has told that the development at a very high yield would be more dampening in this juncture. He also added that both the government and the RBI are doing really an excellent job to restore the market confidence and to balance the government’s borrowing cost.

Many traders in the Mumbai stock exchange have accepted the fact that the RBI is doing this move to achieve the restoration if confidence in the market. The greater changes that were affected the market recently were found to be acting still more badly and hence the RBI doesn’t want the situation to prevail any more. Thus it has taken a decision to cancel out 3 of their security bonds which were about to be sold in the market on this week. This move would also help the government to prevent itself from higher rates. This move makes sense that the government has surplus cash now.

Greek’s fate is enough for the cautious investors to stay

A meeting that would be scheduled in the weekend would be helpful in deciding the Greek’s fate, which was a reason behind the cautious investors to stay in the market. These cautious investors were the one who asked for the prices with lot and risk and big uncertainties in it. If the creditors in Greece are agreeing to give a fresh lifeline for the country, then it will really relieve apprehension in the global market. The yields from the domestic bonds may also fall by pushing the prices up. This is to do with government borrowing, which is low or may be the government supply also that would be added to firm up.

Last month, the primary dealers, who were underwriting the weekly auctions just by buying the unsold portions of it were made to pick up a debt of worth Rs. 3301 crore. RBI has also rejected bids, which was around Rs.8000 crore of the Treasury bill. It has also rejected the securities of sovereign debt which was just short terms.

Things to Know about AT for Retail Traders

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This article is all about sharing the ideas about the average retailers to maintain a level in their playing field. After all it is must for every marketer and business men to have their own benchmark in their field so as to be recognized by others as successful. Equametrics is a company that was specialized in getting the automated trading power that can be widely used by banks and the retail investors. It is quite sure that anyone will accept the success of this automated trading discipline that goes with the large investors and retailers. But in the case of the average retailers or investors, it is not sure at all that they will have the ability to maintain, implement and develop such automated strategies successfully.

In spite ofbeing a proposer of trading in electronic platform, the customized algorithms that have been used by the hedge funds and banks are not off shelf indicators. These customized algorithms are usually available with the major companies that develop electronic trading platforms. The very common off shelf indicators are the 200 days average movement and the MACD and those were the great tools for garnishing an immediate snapshot of the market’s current state. Well some advices that was shared by prominent marketers for the average retailers and investors to do better with the electronic platforms are

  • The canned indicators or simply termed as off shelf indicators will never work like the automated trading strategies.
  • The input of a standard indicator usually needs notifications that are combined with the input variables and the custom indicators. This is just a way of producing a profitable strategy for a long drag.
  • Learning curve which is actually being used by the larger investors and retailers will not suit with the average retailers and investors. Hence it is good enough for these average investors and retailers to avoid this learning curve while entering into the electronic platform.
  • Going for an education and execution platform that costs around $99 to $250 a month is really not required and it is too costly in case of average investors and retailers. This may go good with the investors who have enough time and money to be spent. But as an average investor, this is something not affordable and not required.
  • If you are really interested and too aggressive towards developing an electronic platform and making use of it, then it is better to choose some books to read on it first and then go with a fair amount to be invested on it rather than jumping in to the shark pool at initial stage itself.
  • At last, if an average investor and retailer want to enjoy the benefits of an electronic platform then it is good for them to go with a platform that has already proven its levels and has given good records so far.

After all these ideas, still if you were in a dilemma to go with the electronic platform then it is advisable that you can choose an expert market analyst to guide you in trading through electronic platforms. Read More on Trading Online Academy

The Future of AT/HFT

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The algorithmic trading and high frequency trading has really made a great revolution in the market industry. So many firms all around the world have turned themselves towards these automated and faster strategies. While there was a complete positive review going on at one side, there are also various negative ideas about the technology. The faster rate of the strategy makes many investors afraid about the consistency of the market. They feel that the risk factors in these strategies are high. The recent fall of American stock exchange was told that AT and HFT were the reason behind it. But on whole, the strategy is growing day by day and now it is essential to know the future of these strategies.

Future of Algorithmic Trading

It is quite well known that the ability of algorithms to manipulate the market data has already gone beyond the level of imagination. Since it is believed that the future of the market lies in the algorithmic trading strategy, it is essential to know what would be its updates and future developments. In a recent talk about the trading algorithms, it was told that the strategies would be producing informations like humans soon. Well at first it makes no sense that how a strategy could actually produce natural language information like human. But the advancement in technology has actually paved a way for this to become true.

It seems possible for the algorithms to tweet false information about a company and so the investors would get depressed, that would eventually result in the loss. The technology development has made it possible. But this type of negative ideas is only a pinch on what it is going to be in the near future. The advancements are really expected to be very high. So many institutes all around the world are providing courses on algo trading so that the youngsters who enter into market will face it easy with a professional approach.

Future of High Frequency Trading

The future of HFT was a discussion started four years back during the flash crash. The whole set up was ruined and the marketers were really afraid of making out things back to HFT again. Since the flash crash, the High Frequency Trading strategy was refined again and again and finally there is a strategy now with low risks but high benefits. Well the risk is everywhere and we have to be cautious. In case of HFT, it is quite clear about the future. The advancement in technology and the guts what the investors have got has made way for developing ultra speed strategies now.

The technology is going to be really tough, if you were not a computer geek. It is true that in future, only people who have a good computer skill can work with the strategies efficiently. It may not take too long for the ultra speed technology to come into existence. Hence it is good for people who were planning for a trading future to become a techno geek soon.

The National Stock Exchange Is Launching New PG Courses in Global Financial Markets

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The National Stock Exchange has launched new post graduate program in the Global Financial Markets which will be a full time course offered for the first time in India. There was no such course previously in India and the NSE was the first to take initiative on introducing such course for proving a better exposure of global markets to the Indian students. The classes will be started from this July 27 on the program, told a higher official of NSE. Students are provided with criteria for joining the course.

International Certification

NSE while mentioning about the program has told that the program is highly specialized one and the student who have enrolled themselves for the course will be taught with a curriculum that was globally benchmarked. The course will offer the students with 14 international certificates from the countries like Singapore, US and India. There will be a one week special immersion program in Singapore which will let the students to have an exposure to the best practices of how to handle the global clients and how to do the business with ease. The program was organized in Singapore because, the country is considered to be best in doing the business with most ease and it has one of the stringiest financial centers in the world.

Chitra Ramakrishnan, CEO and Managing Director of NSE while saying about the course has told that the students who have enrolled for the program will be learning the globally benchmarked curriculum while residing in India. They will be practiced with the securities product from the countries like Singapore and the US, and they will also get the working knowledge of the regulatory practices in those countries.

Eligibility

The NSE has given eligibility criteria for the students to enroll in the program. Any graduate with 50% of aggregate mark in their graduation with a good score in the any one of the competitive exams like CAT, GMAT, ATMA, XAT, CMAT, etc., are eligible to apply for the program. Candidates who have not appeared for any of the above mentioned competitive exams can attend the online test conducted by the NSE itself between June 23-27 of 2015. About 154 exam centers were allotted across the country for the online test. And the NSE has also started giving applications for the exams. The last date for the applications to be submitted is June 22.

The final selection of candidates for the program will be based on the scores in the competitive exams or the online test, the academic profile and the interview with the candidate. People who reside out of station can take up the video interview. The NSE has mentioned in its statement that people who are experienced in the financial and business sectors will be given more preference. The opportunities for these candidates after completing the program was enormous as the world exchanges needs more people who are qualified and experienced. The international certification will be a very good platform for the Indian students to enter into the world market.