Hedge fund Tremblant Capital implements LiquidityBook LBX Buy Side order platform

Hedge fund Tremblant Capital implements LiquidityBook LBX Buy Side order platform

LiquidityBook, a Software-as-a-Service (SaaS)-based provider of buy-and sell-side trading solutions, has just announced that Tremblant Capital, a global asset management firm, has selected the SaaS-based LBX Buy Side as its full POEMS (portfolio, order and execution management system), with the integrated LBX Connect as its FIX routing network. LBX Buy Side replaced an existing system which was implemented 16 years ago near Tremblant’s inception.

LiquidityBook’s platform provides a full range of order, execution and portfolio management capabilities, including real-time performance, full historical P&L, risk management, compliance and reporting. With the implementation now complete, Tremblant is using LBX Buy Side to support its entire multi-asset trading workflow, which includes equities, options, FX and swaps.

In addition, LiquidityBook’s proprietary FIX network allows Tremblant to access each of its 75+ brokers while significantly reducing third-party connectivity costs.

Jim Eckert

Jim Eckert

According to Jim Eckert, Tremblant’s Chief Operating Officer, LiquidityBook provides his firm several significant advantages:

Since our inception in 2001 our firm’s complexity continues to accelerate, especially as the breadth of products we offer to our clients has increased. We conducted an intense search for a replacement POEMS, and after 18 months of analyzing multiple systems our team concluded Liquidity Book was the right solution. We needed an intelligent trading, intra-day reporting and compliance system but importantly we needed a platform that was flexible and will continue grow with us. We were very impressed with the attention to detail, sophistication and overall level of service the LiquidityBook team provided during our tight implementation window. We have been live for a few months now and the additional LiquidityBook functionality has been a great enhancement to our business,” he said.

Sean Sullivan

Sean Sullivan, Chief Revenue Officer at LiquidityBook

We are thrilled to add Tremblant Capital to our growing roster of clients,” commented Sean Sullivan, Chief Revenue Officer at LiquidityBook. “In just four months, we worked with them to deploy a full POEMS replacement, developed a customized workflow that simplified their allocation methodology while offering them considerable cost savings.

He continued:

Over the last year, the lion’s share of our new business has come from legacy system replacements. More and more managers are deciding that the case for a fully multi-tenant, SaaS-based system is too strong to ignore.

The LiquidityBook platform delivers significant benefits in the following areas:

  • Cost: LBX is a fully SaaS-based product, delivered 100% via the cloud leveraging AWS’s global footprint and architecture, which is the most reliable and secure in the industry. That means there is no need to pay for servers, hosting, BCP, back-up data or mobile/remote connectivity, which also eliminates fees paid for hosting, remote connectivity, back up of firm trading and position data or business continuity planning. The platform provides full redundancy and accessibility anywhere in the world; users simply need a browser and connectivity to trade.
  • Stability and Service: LBX is an OMS/PMS/FIX order routing platform built on a single code base. Every client runs the same version, and updates are rolled out weekly. The platform is not an amalgamation of different stitched-together products; it was developed only a few years ago, making it far more reliable than competitive offerings.
  • Functionality: The fact that the product is one integrated platform has significant usability benefits. For instance, the GUI is incredibly flexible, allowing users to create custom columns and calculations on the fly.
  • Business Model: Since LiquidityBook provides its products on a SaaS basis, the firm can offer them at a very competitive price point while still being able to fully fund development, growth and product enhancements.

The firm is not and has never been dependent on transactional fees to drive revenue growth. Not only do those cut into broker commission wallet commitments that many buy side are struggling to reach, this model is also potentially considered an inducement under MiFID II unless the vendor also provides connectivity.

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