Broadridge Financial Solutions has introduced a central risk and liquidity optimization solution, leveraging its Tbricks-powered front-office platform.
This solution integrates advanced functionalities such as smart order routing, multi-asset market making, internalization, centralized risk management, automated hedging, systematic indication-of-interest generation, and request-for-quote capabilities. The unified platform is designed to support both agency and principal trading activities across different products, desks, and venues.
Mitigating sell-side fragmentation
The launch addresses the structural challenges faced by sell-side firms, which often manage risk through siloed desks, operate disconnected trading workflows, and face heightened pressure to provide competitive liquidity within tighter capital and balance sheet constraints. Many institutions currently depend on multiple systems for tasks that are inherently interdependent.
By consolidating execution, pricing, internalization, and risk management processes, the platform aims to enable firms to better manage client flow internally, centralize real-time risk monitoring, and lessen reliance on fragmented technological infrastructure. Broadridge positions this solution as a means for enhanced capital deployment efficiency, reduced trading costs, and improved overall visibility across the trading operations.
Moreover, it marks an essential step in Broadridge’s broader next-generation platform strategy, offering a global, multi-asset, multi-execution-channel trading infrastructure to meet evolving sell-side needs.
Industry perspective
In recent years, the urgency of capital efficiency has risen for sell-side institutions due to regulatory requirements under frameworks like Basel III and its subsequent updates. These requirements have increased the cost of holding risk on balance sheets. Additionally, the fragmentation of trading venues and the rise of electronic market-making across various asset classes have amplified operational complexity. Unifying principal and agency trading workflows through robust platforms has become increasingly critical as firms aim to cut down technology expenses while maintaining high execution standards.
Broadridge’s Tbricks platform, already established in equities and multi-asset front-office trading infrastructure, now integrates central risk and liquidity management functions within the same environment. This extension is particularly beneficial for institutions aiming to streamline vendor relationships alongside operational processes.
The solution targets those institutions seeking to eliminate historical trade-offs associated with managing agency trading, principal trading, and bilateral trading capabilities across distinct systems.
