There are a number of people who believe that “rules” are the “brains” of CEP. I would argue that rules are only “one of the many brains of CEP”, and will address this topic in a later post.
Instinet, a global agency broker and wholly-owned subsidiary of Nomura Holdings, Inc, has recently launched a new cyber-trading offering, Sidewinder. Sidewinder is a CEP application of a “dynamic participation” algorithm that automatically adjusts the volume participation rate as stock price moves relative to a benchmark, allowing traders to take advantage of dynamic “value” or “momentum” situations.
According to DWT, Sidewinder is the 12th algorithm in Instinet’s portfolio of global cyber-trading strategies (eight are listed here). These include Instinet’s scheduling algorithms Wizard, Wizard PRO, Global VWAP or Volume Participation; investment strategy-specific algorithms for pairs trading and risk arbitrage; and intelligent access algorithms, such as BlockPeg, Cobra and Nighthawk.