Virtu Rolls Out New Switcher Algo

Virtu Financial has moved to expand flexibility for its clients when looking to trade algorithmically by allowing them to switch algorithms mid-way through an order. Named Switcher, the new “algorithm of algorithms” as called by Virtu, is designed to allow clients greater optionality for an order throughout its lifecycle depending on changing conditions. “Clients have been asking for a more dynamic approach to algo wheel implementations that solves the constraint of only using one algo strategy for each order,” James Osborne, global head of algorithmic development at Virtu Financial said in a story in The TRADE news. “Switcher multiplies the power of an algo wheel by dynamically switching between multiple algo strategies as conditions change – the same way a human trader would trade orders if they had time to monitor and trade everything themselves.” The new capability acts as a co-pilot for traders, helping them to manage low or no touch flow. The algorithm helps traders to select the most appropriate algorithms based on trader constraints, market conditions and the order’s characteristics such as size of order, the level of urgency set by the trader, and available liquidity. However, the defining factor of the algorithm and the inspiration for its name is a capability that allows it to switch strategies mid-flight. Switcher continuously consumes real-time market inputs and if required can switch between Virtu’s algos – such as Opportunistic, Flex POV, Catch, Oasis – autonomously as market conditions change.