Hong Kong is a major international financial center and a
regional hub for institutional buy-side firms. Their presence in
Asia, coupled with the growth of hedging strategies, has led to an
increase in algorithmic trading in the region. Gabe Butler, Hong
Kong-based director of sales and trading for New York agency
brokerage Investment Technology Group (ITG) says that algorithms
have been available there for three to four years, and "it is still
a developing market that has been pioneered primarily by brokers
using algorithms to trade on behalf of their clients."
According to various analyst estimates, 3 percent to 5 percent
of order flow in Hong Kong is generated by algorithmic trading,
compared to 13 percent in the U.S. |
