Fresh off a series of acquisitions and steady organic growth, Trading Technologies is seeking further expansion via multi-asset trading products and doing more business in Asia-Pacific.
Speaking with Traders Magazine March 12 at the International Futures Industry Conference in Boca Raton, Trading Technologies Chief Executive Officer Keith Todd noted the company has “transformed” since his first FIA Boca event as CEO two years ago, with annual revenue up from $98 million to $170 million.
Todd highlighted growth areas including a consolidated position in exchange-traded derivatives and traction in multi-asset class trading, including TCA and compliance. “We are focused on bringing multi- asset capabilities to the user.”
Trading Technologies’ recent acquisitions include ATEO SAS, a provider of post-trade solutions for listed derivatives; Abel Noser Solutions, a TCA provider; and AxeTrading, a provider of fixed income trading solutions.
“We’re a platform business,” Todd said. “When we acquire a company it’s not on our platform but it can be integrated within 18 months.”
TT has added people at its Chicago headquarters but it has seen more rapid growth in other markets, including Asia-Pacific, Europe and India.
“Our business ethos is about empowering team members to do well by customers and get stuff done,” Todd said. “It’s best to liberate people to go do their thing, which is how we have been able to recruit top talent.”
Todd noted market volatility should drive trading volumes this year, given elections in the US and UK plus potential changes in interest rates. “It’s going to get busy,” he said. “Certainly in the ETD space, the backdrop is healthy.”
To the question of whether TT may be too big for some customers’ liking, Todd said the firm emphasizes preserving an agile culture where employees are empowered to do what they need to do.
“I’d rather you come to me for forgiveness for something you did wrong, than you be wrong by waiting to do something.”
Todd also noted the cost advantages of a secure, stable technology provider, and the firm’s willingness to partner with third parties. “TT is not going to become bureaucratic. It will be an agile friend of the customer.”
Regarding AI, Todd said he’s wary when people say a given technology will change the world, because the length of time it takes for a technology to change the world is measured in decades.
“We’ve all been doing AI for a long time – it’s just a fancy term for automation,” he said.
The latest buzz on AI is about generative AI. Todd said: “Is AI going to eliminate traders? No. Is it going to improve trading decisions? Yes.”
“But more than technology, you need data,” Todd added. “Data and analytics is the future of more sophisticated trading.”
