What is Algo Trading?

Algorithmic Trading, also called Algo Trading, is a form of automated trading that uses computer programs to analyze market data based on pre-defined parameters. Without manual intervention, the Algo Trading platform places trades on the terminal, with the algorithm deciding the timing, price or quantity of the order, thereby increasing speed of execution.

What are the benefits of Algo Trading?

  • Reduces the need for you to manually track and place orders
  • Reduces the time taken to execute trades, which can prove critical in volatile markets
  • You can place a large number of bets at high speed in multiple markets with high-frequency trading

Is Algo Trading allowed in India?

SEBI has allowed Exchanges to extend Algorithmic trading facility to members involving usage of various Decision Support Tools / algorithms / strategies (Source: NSE)

Who uses Algo Trading?

Algo Trading is commonly used by heavy traders, institutional investors and brokerage houses to execute trades that are high in frequency or large in size.

How does Algo Trading work?

Contrary to popular perception, Algo Trading is not hard to understand or execute. If you have got any trading ideas, simply build your strategy using an algo trading tool. It is advisable to test the strategy using a simulator, fine-tune it and then send it to the algo trading platform for execution.

Presenting BLAZE

Blaze from IIFL Securities is redefining algo trading. It is a suite of powerful tools and strategies for professional traders and quant developers for rapid development, testing and deployment of simple to sophisticated trading strategies into constantly evolving financial marketplace.

Blaze combines powerful features such as, multi-asset trading across multiple liquidity venues from your algorithmic trading strategies with comprehensive risk management system to ensure safety and soundness of your investments.

Blaze uses the state-of-the-art trading platform XTS from Symphony Fintech Solutions, which was founded in year 2008 with a passion for customer success and a vision to build intelligent trading solutions with performance and reliability unmatched in the industry.

Get Started with Blaze

Connect with our Blaze Product Specialists

Viren A. Amrute

AVP - Algorithm Trading & Product Development

With over 15 years of experience in Algo Trading, Product Development at IIFL Securities & Kotak Securities.