Imperative Execution, a startup electronic stock trading venue operator, has found early success using artificial intelligence (AI) to reduce price movements after trades, and now it plans to use the technology to help brokers get larger trades done.
Imperative Execution runs IntelligentCross, a trading platform known as an alternative trading system (ATS) that was launched in September and in the six months since has matched more than 1 billion shares.
To be sure, the company faces tough competition against 31 other ATSs and 13 stock exchanges like Nasdaq Inc and Intercontinental Exchange Inc’s New York Stock Exchange, which together have matched around 6.5 billion shares each day this month.
What sets IntelligentCross apart is that AI is a key feature of the ATS. Founder and Chief Executive Roman Ginis said his firm uses AI to measure the outcomes of trades in real time and then adjusts trading schedules to help brokers get better executions and save their clients money.
“We want to build venues that solve for particular trading outcomes,” Ginis, a former trader at Cubist Systematic Strategies, the computer-driven trading arm of Steven Cohen’s hedge fund Point72, said in an interview.
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