Investortools and ficc.ai have partnered to stream the latter's predictive trade levels into the former's Investortools Dealer Network.
This integration gives Investortools' clients greater "AI-driven pricing intelligence," allowing them to make more informed decisions and have the flexibility to incorporate their preferred real-time pricing data providers, according to a press release.
Through the integration, Investortools clients can calculate analytics based on predictive trade levels, filter the live market based on "what's rich or what's cheap" compared to the predictive price and power automation, said James Morris, senior vice president at Investortools.
"The idea is we are setting our clients up to be able to take this data and run automation to help streamline the construction of their portfolios," he said.
Through the latest machine learning advancements, ficc.ai provides real-time predictive trade levels for around 1 million CUSIPs.
The AI models improve efficiency and confirm prices are "reasonable" before execution, the release noted.
"Since our predictive trade levels are generated in real-time, we like to think of it as 'nowcasting,'" said Steve Winterstein, CEO of ficc.ai. "We are unique in that we deploy six neural network models that use true machine learning to think like a trader would think."
"From my perspective, our models are synthesized to reflect a trader's view — one who sees all transactions that are occurring in the market, the market tone itself, and has perfect recall," he said.
ficc.ai's predictive trade levels will be integrated into the IDN, which "supports straight-through-processing for trading decisions and trading workflows directly within the system," the release said. The IDN is part of the Investortool's Perform system, a portfolio, order and execution platform.
When Investortool's clients "are looking at the live market, we are seamlessly pulling the appropriate real-time prices" alongside other market data, Morris said.
This is not Investortools' first integration through its IDN, with the company having done similar integrations with other "intraday pricing providers," such as ICE and Tradeweb, Morris said.
This partnership with ficc.ai was a natural fit and something the company wanted to pursue, he said.
"With the advent of the IDN in June 2020, [Investortools] now has 14dealers, including four electronic trading platforms, delivering about 500,000 offerings per day," Winterstein said. "We're excited to be able to provide Investortools with predictive trade levels that their users can access through their platform."
