John Adam, head of research at Liquidnet, says IROs are concerned about macro conditions and whether they point to a double-dip recession. In turn, they want to know how institutions are reacting, and whether there’s a preponderance of equities buying or selling.
Adam describes how Liquidnet, a dark pool trading platform, created InfraRed in partnership with the NYSE to ‘lift the veil’ off institutional sentiment. ‘The more transparency we can provide [to IROs], the more control we can give them in a very volatile market,’ he says. Two-year-old InfraRed now has around 500 users.
