Monitor Trading Activity & Enterprise Risk with Visual Business Intelligence Tools

The markets today are nothing like they were five years ago and making good decisions quickly has become even more important. People working in fast-paced trading environments within buy-side and sell-side organizations must struggle to cope with data that moves throughout the market at increasingly high speeds. The cost of making bad trading decisions is very high, and this places even more demands on managers who are responsible for the activities of traders and brokers. Static reports and traditional business intelligence tools simply cannot keep up with a market that’s changing on a second-to-second basis. By the time traders and managers have read a report and tried to make sense of the data, market trends have changed completely. What traders and managers need is an effective way to monitor the performance of their orders throughout the whole organization, and to visualize trade risk across their entire enterprise.

New visualization tools are now available that work in real-time and can handle feeds from multiple sources and very large databases. These tools are built utilizing the latest developments in our understanding of the cognitive power of the human brain. They allow people to find outliers, anomalies and trends – within milliseconds – that until now required days to discover using standard reports.

Global View of Performance, Exposures and Risk on a Single Screen

This solution gives managers the tools they need to quickly identify anomalies and track order activity. Traders and managers can also oversee the risk profile of all trading activities across the entire enterprise. This approach makes it possible for users to see a global view of trading activities on a single screen, understand exactly the status of their orders, and see how well each trade is performing by broker, strategy, country, industry, and so on.

Panopticon lets users view trading activities by trader, strategy, broker, portfolio, team, sector security and quickly switch between views. In this view, the manager is reviewing the current activities of a single broker. The system is displaying real-time data based on a streaming feed. Click here to see this image in more detail.

By adding Panopticon Trade Monitoring to a system, client firms can pinpoint problem trades before they “get away” and identify opportunities they would have gone unseen using standard reports or systems. This is a valuable addition to any software system used by buy-side or sell-side financial institutions.

Panopticon Trade Monitoring can be implemented with support for real-time streaming data feeds from Bloomberg and Reuters and other sources; this is critical in today’s fast-moving environment. The system also allows users to see information pulled from multiple databases (static and real-time); the software will automatically aggregate the data or even perform complex calculations and display the results using one of our intuitive visualizations.

Software vendors and client firms can choose from a variety deployment options. The Panopticon SDK supports code-level integration with enterprise applications. The company also offers “white label” versions of productized web-deployed and desktop applications that can be bundled or combined with other software systems.

Sell-Side:
Effective Desk Management & Reduced Trading Costs

Panopticon’s real-time, zero-latency view of ordered, placed and executed trades lets managers easily gauge the efficiency and risk levels of their trading activities and view all aspects of ongoing activities. Panopticon visualizations display multiple views of trading

activities on different levels. View the activities by trader, broker, team, sector, or security and quickly switch between the views. For example, users can view outstanding placed and executed orders by trader and see expected trading impact, inventory status and other security trading details; they can monitor the quality of execution down to the level of individual trading tickets. Panopticon’s Trade Monitoring solution will let you get fast answers to questions like: What is the cost of this order on my portfolio, today? Which brokers or strategies are working best? Where are my problem areas? Do I need to change strategy?  Are traders – individually or as a group – meeting revenue and profit goals?

Desk managers monitor individual and collective results by using the software’s highly interactive visualization tools combined with its capabilities to connect to multiple databases and handle real-time streaming data inputs from sources like Reuters and Bloomberg.

Managers get an enterprise-level view of trading activities, costs and risk. In this view, the manager is comparing the activities of several different brokers. A hover display provides more detail on demand. Click here to see this image in more detail.

The software allows traders and managers to aggregate data quickly in many different ways. For example, users can review results and holdings by country and then aggregate the results in a region. They can program alerts into the system that provide notices to individual traders or groups. Managers can also use the software to review global credit limits and risks and immediately see where traders are close to limits. The combination of its excellent interactive visualization tools with extensive functions makes the Panopticon software an excellent fit for trade monitoring requirements.

Buy-Side:
Immediate Understanding of Enterprise Risk

Traders and Managers in buy-side organizations must be able to see the whole picture – across all trading desks, portfolios and brokers – and make decisions based on accurate information that they can comprehend quickly. Panopticon visual business intelligence software gives managers a global view of the trading action. Users no longer have to piece together useful information from reports. They can look at a single screen and understand where they stand in real-time!. Organizations can provide their managers with a seamless user experience by using our SDK to embed Panopticon visualizations into their Order Management, DMAs or Risk Systems.

Managers using Panopticon’s Trade Monitoring solution can view the status of their Ordered/Placed/Executed (OPE) trades and easily gauge the efficiency of their market activity.

Panopticon interactive visualizations display views at the Trader, Strategy, Broker, Portfolio, Team, Sector and Security levels with OPE relative to intraday and longer term day impact, price changes and relative workloads. In addition to helping them easily oversee and understand their enterprise risk profile, Panopticon’s ability to handle and visualize real-time streaming data allows managers to easily benchmark the holding and performances of their operation against various indexes. Managers can also monitor trading costs, performance of traders compared to goals, day impacts, execution risk, accumulated and averaged values, ordered values versus executed values, and other criteria that will help them better manage their people and operations. The software’s comprehensive analytical capabilities also help managers make more effective and useful reports to other departments, supervisors and clients.

Click here to see an online demo of the Trade Monitoring Solution