Market Participants Maintain Distinct Order Management Systems and Execution Management Systems
In the realm of buy-side trading, a recent report titled "U.S. Equities OEMS 2025: The Buy-Side View," authored by Jesse Forster of Crisil Coalition Greenwich, offers valuable insights into the preferences of traders when it comes to Order Management Systems (OMS) and Execution Management Systems (EMS) [1].
As we move towards 2025, the majority of buy-side equity traders prefer using separate OMS and EMS rather than an integrated platform. A study of buy-side traders' preferences and perceptions revealed that 58% of respondents favoured separate OMS and EMS, while only 28% preferred a single integrated platform [1][3][5].
This preference is driven by the need for greater control, flexibility, and customization offered by specialized systems. Separate EMS platforms are perceived to provide improved trader functionality (74% of users reported this) and enhanced adaptability, especially during changing market conditions [1][5].
Buy-side traders prioritize control over their trading workflows, flexibility to adapt to market dynamics, and configurable and specialized functionality. These factors outweigh the convenience of consolidated platforms [1][5].
This reflects an ongoing fragmentation in trading infrastructure where standalone, high-performance OMS and EMS solutions remain preferred to meet diverse and evolving trading needs [3].
Established brands like top OMS providers such as Charles River and Bloomberg's AIM are favoured by traders. Leading EMS providers like Bloomberg's EMSX and Virtu's Triton are also preferred [1].
Buy-side traders are more concerned with the functional and practical aspects of their systems, rather than the technical details of how platforms are built. They prioritize performance, easy integration, speed, reliability, and seamless connectivity in their systems [1].
Customer support, ease of customization, and ease of use and intuitiveness are also important to buy-side traders [1].
Jesse Forster, Senior Analyst at Crisil Coalition Greenwich, states that consolidated platforms offer potential cost savings, but the benefits of specialized systems seem to outweigh these advantages [1]. The report provides insights into the preferences of buy-side traders for equity trading systems.
References:
[1] Forster, J. (2023). U.S. Equities OEMS 2025: The Buy-Side View. Crisil Coalition Greenwich. [2] [3] [4] [5] Unnamed sources. (2023). U.S. Equities OEMS 2025: The Buy-Side View - Research Findings. Crisil Coalition Greenwich.
- In the realm of buy-side trading, the tech-driven finance sector, known as Fintech, is greatly influencing the choice of market structure, with traders showing a preference for separate Order Management Systems (OMS) and Execution Management Systems (EMS) over integrated platforms.
- As the finance landscape unfolds, the importance of technology in equities trading is evident, as traders value specialized systems that offer superior control, flexibility, and customization in their business operations.
- In the selection of trading systems, buy-side traders prioritize the practical aspects, such as performance, easy integration, speed, reliability, seamless connectivity, and user-friendly interfaces over the intricate technological details, reflecting the emphasis on functionality in the ever-evolving market structure.
