2016 EMS Provider Profiles: Tora

October 1, 2016 TORA News

“Tora remains well placed to continue to grow” says The TRADE News following its survey of more than 300 Execution Management System users globally.

2016 EMS Provider Profiles: Tora

thetrade-digital.com – Tora is very heavily focused on hedge funds as clients and was founded in and remains centered on Asia in terms of the location of its clients.  This gives the firm a very different demographic profile compared with other providers in the Survey.  Fully three-quarters of its responses came from hedge funds with hardly any from purely long-only buy-side institutions.  Similarly more than 80% of respondents have more than $1 billion of assets under management and all respondents are based in Asia, including China, Hong Kong, Japan and Singapore.  This means that the nature of client demands may be different as well as their view of relative functional priorities.  Last year Tora ranked second in terms of number of responses.  This year it was fourth by that measure and fifth when size is taken into account.  The change reflected the fact that while the number of responses for Tora increased it did so only slightly, compared with much bigger increases seen by some other providers.

Overall scores were very strong.  However, they were also down from the exceptional levels of 2015.  One client noted that they would like to see, “clearer communication re development requirements and deliverables especially related to connectivity into our platform.”  Others were looking for specific extensions of functionality, whether pairs trading, pre-trade compliance or FX.  As clients become more aware of the capabilities that are available it is important that Tora maintains its ability to keep up with client demands.  Even so it is doing well.  In three areas scores were above 6.0 (Very Good).  Only in Breadth of ASset Class Coverage did the score fall below 5.50 and this illustrates an impressive level of consistency.  Hardly any clients are considering changing EMS which is again testimony to their satisfaction as well as their loyalty.

The 2015 results, which had an average of well above 6.0 should be seen as an exception, unlikely to be maintained.  This year’s scores show that even after a noticeable decline, Tora remains well placed to continue to grow.