TZBE Best Execution & Transaction Cost Analysis
TZBE is eflow’s Best Execution and Transaction Cost Analysis (TCA) tool. With the ever-increasing variety of trading platforms, instruments and asset classes, satisfying your regulatory obligations under Best Execution legislation using manual processes is no longer a viable option. The TZBE platform offers your firm a configurable digital solution to comply with these requirements quickly, efficiently and accurately.
Demonstrate compliance with Best Execution legislation while uncovering commercial insights
The ability of a firm to demonstrate that it’s acting in the best interests of its clients is a core responsibility of any compliance team. TZBE enables you to meet these obligations through a centralised digital platform that automates best execution tests, enriches your data with market data curated from more than 250 sources, and creates highly granular TCA reporting. Not only that, TZBE can also generate commercial insights by highlighting how your trading strategy can be executed more effectively.
How TZBE adds value to your regulatory strategy
TZBE enables a financial institution to satisfy its regulatory obligations under Best Execution legislation, such as MiFID II in Europe and FINRA Rule 5310 in the US. This legislation outlines that a firm has a responsibility “to take all sufficient steps to obtain, when executing orders, the best possible results for its clients”.
Given the scale and variety of trading activity undertaken by many firms, a digital system is an essential tool to ingest and analyse the multiple data points that need to be monitored to ensure compliance.
TZBE’s highly customisable structure means that it can scale and flex with your business requirements. Your platform will be capable of ingesting, testing and reporting on all major instrument types and asset classes to ensure that you stay compliant, no matter what you trade. The platform will automatically run best execution tests against a range of industry benchmarks including VWAP, Time, Venue, Implementation Shortfall/Slippage, and Best Bid/Ask, before generating ‘regulator ready’ reports.
The platform features highly configurable parameters that can be customised and tested to mirror your trading strategy, automatically account for variables, and reduce false positives. Your chosen reports can also be set based on a number of reference and market data metrics such as volatility and instrument liquidity. Should a trade deviate from expected parameters, it will be flagged for further analysis, enabling the production of detailed TCA reports that highlight areas requiring attention. TZBE also includes MiFID II-compliant data archiving and indexing as standard to ensure that you are one step ahead of your regulatory obligations.
Drive operational efficiency
Automate and streamline your best execution testing and transaction cost analysis strategy
Use data to trade more effectively
Generate cost-saving insights by highlighting how trades can be executed more effectively
A system that evolves with your strategy
Access a regulatory framework for best execution and TCA that scales with your business
Strengthen your regulatory processes
Automate workflows to reduce the risk of human error and create more robust regulatory governance
Automate your record keeping
Strengthen your data management strategy thanks to automatic data archiving and indexing in line with MiFID II legislation
Tailor the system to your specific needs
Fine-tune your platform’s configuration to your exact needs by experimenting with various parameters in an independent sandbox
Regulatory technology that evolves with your business
While the legislation that governs financial institutions is clearly defined, we understand that each firm’s regulatory strategy is unique. This is why we have designed our solutions to be regionally agnostic and mould flexibly around your organisation’s specific requirements.
Data-led trading insights
Generate data-led insights that highlight how your trading strategy could be executed more effectively
Integrated testing and analysis
Automatically run best execution tests and transaction cost analysis through one integrated platform
Automated data enrichment
Automated data enrichment for all alerts and asset types from the eflow Market Data Store which curates data from more than 250 sources
Test against industry benchmarks
Run best execution tests against VWAP, Time, Venue, Implementation Shortfall/Slippage, Best Bid/Ask and more
Highly configurable test parameters
Automatically adjust test parameters to account for any variable and customise alerts in line with your risk strategy
Automated data archiving and indexing
Automatically archive and index trade data in compliance with Best Execution legislation such as MiFID II, FINRA Rule 5310 and MAS Best Execution rules
Comprehensive reporting
Generate ‘regulator-ready’ reports directly from your platform
Asset class agnostic
Ingest, test and generate alerts for all major asset classes
Trusted by industry leaders
Alex Phillips - Head of Compliance & MLRO
We have been consistently impressed with eflow’s constant dedication to ensuring that our compliance needs are met. We would recommend them to any firm looking for a market abuse or best execution solution.
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