It is easy to think of best execution in simple terms, such as was best price hit.
But in reality, the subject is much more complex and involves market impact, signaling risk, and of course benchmark. Those are all front office metrics, but true best execution takes in the total cost of the trade, meaning a look across the entire lifecycle. Nowhere is the cost of trading more critical than in the use of capital, especially in the age of Uncleared Margin Rules (UMR). Learn more about how capital optimization is the next generation of best execution.
CLICK HERE to read the full article in e-Forex Magazine.