In order to support broker-dealer desks in their move towards more agency-style, multi-asset trading, OMSs will need to expand their functionality and straight-through processing. Read through our slideshow for a snapshot of the current state of play for the sell-side OMS, and find out how this stacks up against future demand.

1. Beyond Order
Management
Moving the OMS Beyond Order Management

2. State of play
2
• Order management systems
(OMSs) are evolving in
lockstep with users
• Sell-side trading desks are
being asked to do more with
less
• Commissions have plateaued
at a historically low level
• Greater levels of automation
and functionality are
demanded

3. Client driver
3
Buy-side clients are expanding their use
of multi-asset trading, with smaller and
medium firms often employing traders
across two or more instruments.
Increasingly they trade both cash and
derivative products; Greenwich
Associates found nearly 70% of
participants in a recent buy-side study
trade both on the same desk.
Sell-side firms need to mirror client activity in order to help manage
relationships effectively and get a clear view of the customer.

4. Electronic trading becoming increasingly
prevalent in the OTC markets
4

5. As electronification of trading increases, it drives the need to process trades in an
automated manner. However internal automation is lower.
Interaction between systems is not high; 91% of brokers export data from the OMS
into Microsoft Excel and other third-party applications for risk analytics.
5
Report, on the buy-side,
integration with other
systems to be limited
via their OMS
60%

6. Greater transparency
6
Rising need for compliance and
reporting from the trading desk,
under MiFID II, Market Abuse
Regulation (MAR) and SEC Rule
15c3-5, the “Market Access Rule”
which imposes pre-trade
transparency checks.

7. Pushing for change
7
With less than 10% of dealers expecting
to change their OMS in the coming year, it
appears that brokers have learned to live
with existing challenges.
However as electronic trading becomes
more prevalent, the pressures on
performance will only increase,
necessitating more straight-through
processing (STP) and higher levels of
internal integration.

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