Difference between revisions of "KCG Holdings Inc. (KCG)"

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KCG began linking its fixed-income trading venue BondPoint to Charles River's Investment Management Solution in February 2015. The arrangement is intended to provide KCG with more institutional order flow from clients using the Charles River IMS. BondPoint, a registered ATS, links more than 400 financial services firms to approximately 200,000 live bids and offers each day. <ref>{{cite web|url=http://www.tradersmagazine.com/news/brokerage/kcg-integrates-charles-river-ims-to-grow-its-institutional-business-113438-1.html?utm_campaign=buyside%20snapshot-feb%205%202015&utm_medium=email&utm_source=newsletter&ET=tradersmagazine%3Ae3782419%3A1170180a%3A&st=email|name=KCG Integrates Charles River IMS to Grow Its institutional Business|org=Traders Magazine|date=February 5, 2015}}</ref>
 
KCG began linking its fixed-income trading venue BondPoint to Charles River's Investment Management Solution in February 2015. The arrangement is intended to provide KCG with more institutional order flow from clients using the Charles River IMS. BondPoint, a registered ATS, links more than 400 financial services firms to approximately 200,000 live bids and offers each day. <ref>{{cite web|url=http://www.tradersmagazine.com/news/brokerage/kcg-integrates-charles-river-ims-to-grow-its-institutional-business-113438-1.html?utm_campaign=buyside%20snapshot-feb%205%202015&utm_medium=email&utm_source=newsletter&ET=tradersmagazine%3Ae3782419%3A1170180a%3A&st=email|name=KCG Integrates Charles River IMS to Grow Its institutional Business|org=Traders Magazine|date=February 5, 2015}}</ref>
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KCG announced in February 2015 that it would unite its network of microwave towers with World Class Wireless LLC, connecting major global market centers WCW, which is owned by ECW Wireless, has the same address and senior managers as the high-frequency trader [[Jump Trading LLC]].
  
 
== Key People ==
 
== Key People ==

Revision as of 16:52, 24 March 2015

Nasdaq Banner 728x90.jpg
KCG Holdings Inc.
KCG Logo.png
Headquarters Jersey City, New Jersey
Key People Daniel Coleman, CEO
Products Trade execution

KCG Holdings Inc. (KCG) is the name given to the former Knight Capital Group after it was acquired by GETCO in the summer of 2013 for $1.4 billion. KCG is the merged entity.[1] The company offers trade execution to broker-dealers and institutional investors across all capital markets. It also owns a majority stake in hedge fund manager Deephaven Holdings.[2]

Jefferies Group LLC owns a 20 percent stake in KCG, after it boosted its original stake by purchasing an additional 6 million shares in March 2014. Jefferies was one of several firms that helped rescue the former Knight Capital Group in 2012 after a technology problem caused it to lose $440 million in one day of trading. Jefferies acquired the shares for $11 each, bringing its total holding to 22.5 million shares.

In September 2014, KCG Holdings Inc. agreed to sell its futures commission merchant business to Wedbush Securities Inc.

In September 2014, KCG announced a new trading venue called HotSpot QT for currencies. The platform will not disclose prices to the market before or after transactions are placed.[3]

Also in September, KCG cut its workforce by 4 percent.[4]

On October 15, 2014, ISE announced that KCG had enhanced its execution capabilities for the stock component of multi-legged options strategy orders. The enhanced execution capabilities access liquidity directly from the equities exchanges, whereas previously, orders were sent only to alternative execution destinations, such as dark pools. Fill rates for multi-legged options orders that include stock increased as a result of this enhancement, the exchange said.[5]

On December 1, 2014, KCG Holdings announced the completion of the sale of KCG Futures, its futures commission merchant, to Wedbush Securities Inc. [6]

History

To create KCG Americas LLC, the brokerage operations of GETCO Execution Services LLC and GETCO Securities, LLC were first consolidated into Knight Capital Americas LLC (KCA), then OCTEG, LLC (OCTEG) was merged into KCA, which was subsequently renamed KCG Americas LLC, effective December 31, 2013.[7]

Also See Knight Capital Group

Products and Services

KCG and Trading Technologies International announced in February 2015 that TT would introduce connectivity to KCG Fixed Income in the first quarter of 2015. KCG provides direct access to on-the-run U.S. Treasury liquidity. This is the first time TT has offered connectivity to liquidity from a non-exchange provider.[8]

KCG began linking its fixed-income trading venue BondPoint to Charles River's Investment Management Solution in February 2015. The arrangement is intended to provide KCG with more institutional order flow from clients using the Charles River IMS. BondPoint, a registered ATS, links more than 400 financial services firms to approximately 200,000 live bids and offers each day. [9]

KCG announced in February 2015 that it would unite its network of microwave towers with World Class Wireless LLC, connecting major global market centers WCW, which is owned by ECW Wireless, has the same address and senior managers as the high-frequency trader Jump Trading LLC.

Key People

References

  1. KCG History. KCG.
  2. Getco goes away. Crain's Chicago.
  3. KCG Sinks as Executives Depart Speed Trader Turned Broker. Bloomberg.
  4. KCG to Sell Institutional Forex Trading Business to BATS. The Wall Street Journal.
  5. ISE and KCG Jointly Enhance Execution Capability for Multi-Legged Options Strategy Orders with Stock Component. ISE.
  6. KCG Completes Sale of Futures Commission Merchant. Press Release.
  7. Knight Capital Americas Gets Renamed KCG Americas, Unlocks Cost Synergies. Forex Magnates.
  8. Trading Technologies to Establish Connection to KCG’s Fixed Income Liquidity. Trading Technologies.
  9. KCG Integrates Charles River IMS to Grow Its institutional Business. Traders Magazine.