Concept Capital Markets, LLC and Alpha Dealing LTD execute transatlantic agreement to extend Outsourced Trading Businesses of each firm
20 April 2015
New York, United States
Concept Capital Markets, LLC and Alpha Dealing LTD have entered into a cooperation agreement whereby Alpha Dealing will provide European and Asian execution services to Concept Capital’s outsourced trading clients
Concept Capital Markets, LLC and Alpha Dealing LTD have entered into a cooperation agreement whereby Alpha Dealing will provide European and Asian execution services to Concept Capital’s outsourced trading clients. Likewise, Concept Capital Markets will perform the same services to Alpha Dealing’s clients in the United States. Both Concept Capital and Alpha Dealing believe that they have taken a novel approach to fulfilling investment manager’s outsourced trading needs by providing a service that is fully transparent to both the fund manager and the executing broker.
The key benefits of each firm’s Outsourced Trading Solution is that it is very high-touch in nature and can function as a complete outsourced trading service or supplement an existing trading operation, depending on the client’s specific needs. Clients will benefit from an established and experienced team of traders, support staff, and reporting infrastructure, while at the same time avoiding the cost of building and operating an in-house solution. Conflicts are avoided with an agency-only model and full transparency that makes each customer known to the executing broker. Outsourcing this function also allows clients to concentrate resources on alpha-generating functions, including research, portfolio construction and risk management.
“The differentiated model employed by Concept Capital and Alpha Dealing permits our traders and operational support staff to truly function as an extension of the client’s firm. Our employees will execute directly with designated brokers in the client’s name, representing ourselves to those brokers as the client’s traders. This reinforces the client’s “brand” in the broker-dealer community, but also leverages our existing outsourced trading relationships with such brokers for purposes of research, conference attendance, corporate access, and syndicate”, said Robert Moore, CEO of Concept Capital. Simon Broch of Alpha Dealing comments “Alpha set out to differentiate itself from the competition by actively working with the fund manager to develop and reinforce their relationships with the broker, whereas other outsourced solutions accept your trades and then execute using their own trading lines. In Concept Capital we have found a partner that is philosophically aligned with us and truly has the client’s best interests first and foremost, as we do.”