Hedge fund Ardevora to shut trading desk and outsource execution to Northern Trust

Interesting - especially if it becomes a trend.

https://www.thetradenews.com/hedge-...ding-desk-outsource-execution-northern-trust/

 

Execution traders on the buy side don't add that much value in today's algorithmic execution engines

 

I wonder how big is the risk that the outsourced trading desk will front-run their trades. Hard to gauge what other unethical but legal tricks that these outsourced trading desks will play.

 

This is pretty normal. I think Bridgewater tried this a couple of times.

 

https://www.tokyoreporter.com/crime/keio-university-professor-accused-of-stealing-womens-underwear/

 

I'd say, 100%... if they think they might get away with it. (Sometimes if you steal only a little bit at a time, it goes unnoticed.)

 

I have a buddy who makes markets on the Northern Trust IR Swaps Desk.

NT tried to shut down their customer trading and brokerage business in the late ‘90’s - but their considerable Japanese Commercial clientele insisted on keeping it. It’s a really high quality firm that doesn’t rip customers off and they fly low under the radar.

Northern Trust services Institutional Clients only.