Compass, Mizuho’s AI-powered electronic trading product, wins Markets Choice Best in AI Award
May 9, 2022
New York, May 9, 2022 – Compass, Mizuho’s AI-driven flagship algorithm, won the Markets Choice Best in AI award honoring the firm or product that has had the most success in applying artificial intelligence technology toward improving efficiency in capital markets.Darlene Pasquill, Head of Mizuho Americas Equity Division, accepted the award on behalf of the firm at the awards banquet at the Loeb Boathouse in New York City.
Compass was recognized for its use of AI clustering-based schedule adjustments to minimize signal risk via randomized posting, intelligent venue allocations, volume curve, and trading behavior. In real time, it adjusts trading styles based on these clusters, current market price vs. arrival price, and available liquidity.
The technology, created in partnership with Peking University’s Center for Data Science, showed outstanding results, measuring a 31.2% improvement in performance versus arrival price since its launch in 2019, and evolving the capabilities of electronic trading beyond price prediction to the more advantageous volume prediction.
Compass is an example of how “continual research and innovation has helped electronic trading become entrenched in today’s financial markets,” said Sam Clapp, Mizuho Americas Equities, and Don Hundley, Japan Head of Mizuho Equities Electronic Trading in a recent WatersTechnology OpEd. “With the kind of breakthroughs that we’ve already seen from AI, we expect that electronic trading will only become a more essential—and powerful—tool for financial institutions in the future.”
About Mizuho Americas
Mizuho Americas is a leading provider of a broad range of financial services, including investment and corporate banking, lending, custody, treasury services, research and capital markets solutions. With professionals across the U.S., Canada, and Latin America, Mizuho Americas supports corporate clients, institutional investors and public sector organizations by connecting local markets to a vast global network. To learn more about Mizuho Americas' business, values, and ethical commitments, and the entities it comprises, visit www.mizuhogroup.com/americas.
Mizuho Americas is an integral part of the Japan-based Mizuho Financial Group, Inc. (NYSE: MFG). Mizuho Financial Group is one of the largest financial institutions in the world, offering comprehensive financial and strategic services through its subsidiaries. The group has approximately 900 offices and 60,000 employees worldwide in nearly 40 countries throughout the Americas, EMEA and Asia. As of December 31, 2021, its total assets were approximately $2 trillion. Learn more about Mizuho Financial Group at www.mizuhogroup.com.