ITG, a provider of technology-based trading services and transaction research, says that the “Power Match” is a new midday crossing session exclusively for block trades over 10,000 shares. The concentrated match represents the next evolution in point-in-time crossing, which ITG introduced over twenty years ago with POSIT Match, according to the announcement.
The “Power Match” will take place at 1:00 pm ET daily, and ITG says it will provide clients with “concentrated, block liquidity at one of the most illiquid times of the day.” The firm notes that liquidity tends to follow a certain pattern, with more liquidity in the market at the start and close of each trading day, and less liquidity at midday. “Visually, this concave line is sometimes referred to as the liquidity ‘smile,'” according to the announcement.
“For the past 20 years, POSIT has been a leader in providing block liquidity and anonymity to the buyside,” said Chris Heckman, Managing Director at ITG, in a press release. “Clients utilize point-in-time crossing as a key aggregation tool for block liquidity in a fragmented marketplace. The addition of the ‘Power Match’ to the scheduled cross will provide a concentrated source of liquidity at an illiquid point in the trading day.”
Clients trading in POSIT Match have the ability to set portfolio constraints in order to optimize the performance of their portfolio during scheduled matches, according to ITG. POSIT Match is part of the POSIT crossing suite, which also includes POSIT Now, a continuous cross, and POSIT Alert, an indications-based cross. POSIT is accessible through Triton, Radical, ITG Channel, Macgregor XIP, or any FIX connection.