ConvergEx Group, a leading technology company, today announced that it has made its patented* ADR Direct® and Reverse ADRSM products available to its customers through RealTick®, its award-winning EMS platform.** ConvergEx customers using RealTick have access to a new user-friendly workflow that centralizes all the components of ADR conversions with global trade execution.
The comprehensive functionalities begin in the trade montage with a color-coded conversion button which displays in real time if a security is available for conversion - irrespective of where the security is traded. It then calculates conversion ratios and the number of ADRs/ordinary shares to trade. Once an ADR/ordinary share trade has been executed, customers can seamlessly facilitate conversions in the RealTick blotter with the flexibility to either convert all or some of the executed shares.
Users can also stage an order from their OMS to RealTick and ConvergEx’s ADR technology will electronically set up a trading ticket. Even though the executed orders are in a different market than the staged order, the fills will come back to the customer’s OMS in the symbol and currency of the staged order.
“Our unique functionality gives ConvergEx customers a solution to easily and automatically convert ordinary shares to ADRs and ADRs to ordinary shares in real time within the RealTick execution blotter,” said Andrew Levine, managing director and head of ConvergEx's ADR business. “It offers the benefits of extended liquidity hours, while minimizing market impact and reducing trading costs. In addition, we also give customers the flexibility to either electronically trade and execute conversions within RealTick or have the ConvergEx ADR Desk execute the conversion trade on their RealTick blotter.”
ConvergEx’s ADR offering within RealTick includes:
- ADR Direct – This groundâbreaking product allows customers to trade ordinary shares in 32 countries, convert the shares to ADRs in U.S. dollars and receive a net ADR price in real time. With ADR Direct, a customer settles the ADR portion of the trade through the U.S. settlement system.
- Reverse ADR – Investors can extend the local liquidity day into U.S. trading hours, continue to trade when there is news or to diversify trading markets during the Europe/U.S. overlap. With Reverse ADR, customers can trade ADRs in the U.S., receive a local currency conversion price and settle the trade in ordinary shares in the local currency, all according to the local settlement cycle.
ConvergEx’s fully dedicated 24-hour ADR Desk offers support for ADR execution capabilities throughout Europe, Asia, South America, the Middle East and Africa. It provides access to overseas trading liquidity, conversion liquidity points, swap markets, odd lot and buy-in trading markets, corporate action issues, and securities borrowing. It is available to customers who both want to process their trade and conversion by themselves and to customers that prefer high-touch services.
RealTick is the industry’s leading, global provider of advanced trading, data and risk solutions. The RealTick platform features access to an extensive, multi-broker network with global, cross-asset class, multi-prime trading capabilities. RealTick's ease of use, unsurpassed flexibility, world-class client service, and fully-configurable and intuitively integrated EMS software have earned the company the 2011 Best Provider of Execution Management Systems (EMS) from Waters Technology and Buy-Side Technology’s 2011 Best EMS Award.
*ADR Direct includes technology subject to ConvergEx’s U.S. Patent No. 7,778,896.
**In January of 2013, ConvergEx Group signed a definitive agreement to sell the Eze Castle Software and RealTick businesses to an affiliate of TPG Capital. The transaction is expected to close before the end of the second quarter of 2013.