SunGard helps broker-dealers who are challenged to grow revenues while decreasing expense and risk by helping them diversify the products and services they offer and expand internationally. As a neutral, vendor partner, SunGard recommends and helps broker-dealers manage the volatility, revenue and compliance challenges presented by the economic downturn. SunGard believes three ways broker-dealers can manage through the downturn include: 1. reduce costs through economies of scale gained by using technology platforms that support the entire trade lifecycle; 2. generate revenue through international growth and product expansion; and 3. protect assets through automated processes and prudent compliance.
â¢ Financial institutions have experienced rising costs, volatility and compliance requirements
â¢ Revenues are tied to shares which have not kept pace with the rise in trade volumes
â¢ Managing volatility and market data in the growing options industry is making it more difficult to control trading risk
â¢ Greater opportunity in emerging markets are surfacing as the equities and options markets experience rapid change
Larry Tabb, founder and chief executive officer of Tabb Group, says, âEquities businesses have been able to increase revenues in a decreasing commission environment. This has come from automation of the trading process, allowing firms to more efficiently handle their order flow. Increasingly weâre seeing more electronic trading in various geographies and in more asset classes.â
Bob Greifeld, president and chief executive officer of Nasdaq, says, âFragmentation is a direct result of regulatory barriers coming down, allowing competition to flourish and bringing a new level of efficiency and dynamic tension in the marketplace. Technology has allowed fragmentation to exist without any penalty to the end users. Through technology, you can create a virtual exchange and a virtual single order book, and companies like SunGard have been at the forefront of doing that.â
Rick Bush, head trader at Newbridge Securities, says, âWe rely on SunGard because of its comprehensive approach to the trading business and the evolution of its product lines. SunGardâs ability to provide access to hundreds of markets around the globe is very exciting and will give our firm the opportunity to capture that world stage.â