— First Minority-Owned Broker to Offer Sponsored Access to BIDS Trading
Penserra Securities Signs Sponsorship Agreement with BIDS Trading
NEW YORK, NY – August 20, 2008 – Penserra Securities, a New York-based agency broker for institutional investors, and BIDS Trading, the alternative trading system (ATS) designed to increase competition and liquidity in the U.S. equity block trading market, are pleased to announce an agreement that provides Penserra’s clients with direct access to BIDS Trading’s crossing system. The arrangement establishes Penserra as the first government-certified Minority Business Enterprise (MBE) to offer sponsored institutional access to BIDS Trading.
Since its start, Penserra has offered its clients, which include several large U.S. pension systems, access to the firm’s accomplished, trusted, single-stock and portfolio trading desks. Through its agreement with BIDS Trading, Penserra customers are now able to directly source block liquidity in the BIDS Trading ATS. This provides institutions with MBE targets a convenient way to boost their MBE use without forcing them to avoid direct-access options.
BIDS Trading, also based in New York, was founded in September 2006 by a consortium of twelve leading financial-services firms. Later this year, BIDS Trading and NYSE Euronext will launch a joint venture that will allow dark orders to interact with both displayed and reserve orders from the NYSE, in an attempt to improve execution quality and access to liquidity for block trading.
“We’re very excited to be able to provide our clients with sponsored access to the non-displayed liquidity in BIDS Trading,” said George Madrigal, managing director and co-founder of Penserra, and a 13-year veteran of Barclays Global Investors, where he served as a portfolio manager and head of transition management. “In addition to our brokerage experience, our management team has deep roots on the buy side, so we truly understand the value of direct access to a venue like BIDS Trading that allows for anonymous, block executions.”
“The connection of Penserra to our block trading facility furthers our goal of creating the most efficient trading venue and deepest liquidity pool possible,” said Tim Mahoney, CEO of BIDS Trading. “We are truly pleased to provide investors using Penserra with the ability to access BIDS Trading’s open, flexible platform.”
Volume on the BIDS Trading ATS has reached more than 5.89 billion shares* since its launch in 2007, with average daily volumes reaching 24.65 million shares* in July 2008.
Media Contacts
Caroline Bujak, BIDS Trading, L.P.
Email: caroline.bujak@bidstrading.com
Tel: +1.212.618.2097
George Madrigal, Penserra Securities
Email: george.madrigal@penserra.com
Tel: +1.212.607.3130
Stephanie DiIorio, Intermarket Communications
Email: sdiiorio@intermarket.com
Tel: +1.212.754.5181
About Penserra Securities
Penserra provides institutional investors with agency-only execution services and advice on many other aspects of the investment process. The firm is also a certified Minority Business Enterprise (MBE) and an approved broker for several large pension plans. Founded in early 2007, Penserra is dedicated to deploying the most advanced trading technology while offering clients complete flexibility. The firm provides pre- and post-trade cost analysis, using a unique methodology that integrates trading with the investment process. Penserra’s execution services cover U.S. and international equities and encompass both single-stock and program trading. The firm is committed to helping design custom solutions for its customers execution needs. Penserra also offers corporate repurchase services, providing for systematic executions that follow safe-harbor rules. For more information about Penserra and its services please visit www.penserra.com.
About BIDS Trading
BIDS Trading, L.P. is a registered broker-dealer and the operator of the BIDS Trading Alternative Trading System (ATS), which was designed to bring counterparties together to anonymously trade large blocks of shares. Developed by a consortium of leading financial services firms, the BIDS Trading ATS resolves the classic paradox of the block trader – the need to find legitimate trading counterparties without prematurely revealing trading intentions. The BIDS Trading ATS is open to all qualifying broker-dealers and their institutional clients, subject to basic credit and regulatory requirements. For more information, visit www.bidstrading.com
*Figures are double-counted, to include all volume traded on the BIDS Trading ATS (i.e., both sides of the transaction).
BIDS Trading and the BIDS Trading mark are protected in the United States and in countries throughout the world.