What We Do
Electronic trading firms integrate a number of disciplines into order to be successful, including systems engineering, statistics, computer science, finance, and street smarts. Tower Research Capital LLC has assembled a team of outstanding engineers and traders who have built some of the fastest, most intelligent computer systems in the world.
Over the past 20 years, global markets have transitioned from manual to electronic trading, and a new class of trading firm, capable of intelligently processing market information and rapidly reacting to changes in the markets, has emerged. These new trading firms – including Tower – have become important market players, providing liquidity, fostering healthy competition, and facilitating transactions. Many firms compete to identify and trade market inefficiencies, driving global markets to be the most efficient and transparent markets the world has ever seen.
Efficient markets benefit everyone: the lower transaction costs that result save money for short and long term investors alike, leading to better overall returns. Vanguard’s Chief Investment Officer, Gus Sauter, concurs, stating “high frequency trading has led to a significant decline in transaction costs for long-term investors over the past ten years through increased liquidity and tighter bid-ask spreads.”
Tower employs some of the best quantitative traders in the world. Tower is home to over 30 separate trading teams, which range in size from a single member to dozens. These trading teams employ a diverse set of trading strategies across a broad range of asset classes on electronic markets around the world. Each trading team maintains an independent, entrepreneurial focus while benefiting from the support of the larger Tower organization. Tower’s trading teams enjoy strategic autonomy while retaining access to resources shared across the firm, including technology, software, and connectivity; exchange memberships and market data; risk management and compliance; and all of the other support functions necessary to move their business forward.