Appital, a peer-to-peer price discovery and liquidity sourcing technology for asset managers, has introduced a new feature aimed at enhancing opportunistic liquidity within the market.

Facilitating Targeted Deal Access

The newly launched functionality, dubbed 'Appital Trending Equities,' represents an industry-first innovation integrated into Appital Insights. It empowers deal originators on the buyside to proactively stimulate unique liquidity in the market prior to the launch of a deal. Concurrently, participating buyside firms gain access to potential deals that may soon hit the platform, focusing on equities relevant to their portfolios and meeting specific criteria, such as minimum average daily volume (ADV) or pricing thresholds.

Mark Badyra, the CEO, Appital, said: “Buyside trading desks will receive a list of trending equities within the Appital platform, which they can discuss with their PMs to identify opportunities they wish to participate in. Traders and portfolio managers are empowered to discover and react to deal flow opportunities that are unique in the market, and generate alpha themselves.”

This feature aims to unlock latent liquidity, facilitate the bookbuilding process, and enable trading desks and portfolio managers (PMs) to adopt a more opportunistic approach. By generating orders in the market that might not otherwise exist, the functionality contributes to liquidity events that might not occur through traditional channels.

In addressing prevalent challenges such as decreasing liquidity in the lit market, reliance on the market close, and a reduction in high-touch sales trading and associated liquidity opportunities, 'Appital Trending Equities ' aims to involve PMs in the deal flow effectively.

Attracting Market Interest with Client Base Growth

The new functionality is already operational and in use by asset managers who are leveraging the Appital platform, experiencing significant traction. Notably, approximately 50 indications have been discovered by portfolio management teams, representing over $1 billion in potential liquidity.

These liquidity event predictions stem from Appital Insights, introduced in Q4 2023. This tool enables buyside institutions to assess the feasibility of executing larger ADV orders without raising alarms in the market.

Presently, Appital boasts a client base comprising more than 40 asset managers with over $15 trillion assets under management (AUM). Additionally, over 60 more asset managers, managing an additional $30 trillion AUM, are in the onboarding stage, demonstrating considerable market interest in the platform's capabilities.

Brian Guckian, the Chief Business Development Officer, Appital, added: “We have seen great traction due to our neutral market position and the trust in our platform. Asset managers are happy to share responses to Appital because we are not conflicted on the data and insights and deal originators can better manage their risk before launching a bookbuild.”