Pre-Trade TCA

Estimate Pre-Trade Portfolio Costs

Trade Compass gives you the information you need to confidently and accurately estimate trading costs. Our pre-trade tool enables traders to predict the costs of a trade before they execute it and how the market might react to new order flow. It allows investment managers to compare the costs of an investment to its expected return.

Our tool uses a common-sense approach to predict trading costs and takes advantage of our extensive universe of investor trade data. When the user enters a prospective order, the tool finds similar trades and uses them to model expected costs. Users who provide their own trading data can even use the tool to generate custom estimates based on their experience with like orders.

Trade Compass can also estimate your daily position liquidity or run projection scenarios, which can be useful for liquidity related board and SEC reporting requirements. The tool offers an easy way for users to summarize their data. Results are then displayed in a familiar drag-and-drop format allowing maximum flexibility for thorough analysis.

Estimate Factors

• Stock (If less than 30 observations, default is to sector)
• Side
• Capitalization (Large, Mid, Small)
• Percentage of Average Daily Volume
• Price Trend – Strong Momentum, Momentum, Neutral, Counter, Strong Counter (Based upon prices from previous two days trading)
• Universe Type – Median stock specific cost results based upon similar buckets of trading
• Client Type – Median cost estimate based solely upon client’s historic results in a specific name or sector
• User-defined time periods

Features and Benefits

• Agency estimate is un-conflicted
• Accuracy is based on real trading
• Client specific estimates are fused with universe estimates
• Ease-of-use with drag and drop functionality
• Dynamic parameters are based on current market conditions