Published : 8 years ago, on 24/11/2016

Integral to Plato Partnership’s vision to improve market structure in Europe is the Market Innovator (MI³), an academic research fund, which will support and facilitate the production of independent research and analytics, open to peer review, and aimed at seeking out ways in which participants can collectively build a better financial ecosystem for all.

Today, Plato Partnership is delighted to announce that it has initiated positive discussions with a number of key stakeholders in the academic world, including J. Doyne Farmer, Director of the Complexity Economics program at the Institute for New Economic Thinking at the Oxford Martin School, University of Oxford, and Andrei Kirilenko, Director of the Centre for Global Finance and Technology at the Imperial College Business School, who have both confirmed their enthusiasm for Plato’s Market Innovator.

Farmer and Kirilenko will sit on an Academic Advisory Board which will play in integral role working with MI³, broadening its academic outreach, as well as ensuring objectivity. Plato Partnership is also in discussions with further academics who will join the Academic Advisory Board in due course.

Professor Doyne Farmer, Co-Director, Complexity Economics, The Institute for New Economic Thinking at the Oxford Martin School, and Professor of Mathematics, said: “It is remarkable to have a consortium such as this, consisting of a large number of major participants from both the buy and sell-side. This presents an opportunity to enact changes in market structure that could benefit everyone. The ability of the MI³ to commission innovative research can shed light on new approaches and shorten the otherwise costly process of trial and error. I look forward to working with them.”

Andrei Kirilenko, Director of the Centre for Global Finance and Technology at Imperial College Business School, said:“The MI³ initiative offers a great opportunity to build an accessible yet secure environment in which the largest global buy-side and sell-side firms behind Plato Partnership can share their knowledge and data with independent top quality academics working on market structure issues. I am glad to be a part of this effort.”

Mike Bellaro, Plato Co-Chair and Global Head of Equity Trading, Deutsche Asset Management, commented: “We are absolutely delighted to have the support of Doyne Farmer and Andrei Kirilenko, leading academics in their field, and believe this will bring a very important academic rigour to everything that MI³ does.

“MI³ will facilitate independent research and analytics and collaboration amongst Plato members, with the goal of promoting efficient markets and appropriate market structures for the benefit of all market participants, and having the support of such distinguished academics is a very important part of this. We are looking forward to working collaboratively and making some very positive progress to the market through MI³.”

Darragh Rossi, Plato Board Member and Global Business Development, UBS Equities Electronic Trading commented: “The Academic Board will act as a key advisory body for all the Market Innovator (MI3) activities, providing high quality, credible feedback and guidance. With that in mind, we are very excited to have individuals of the calibre of Doyne and Andrei involved in Plato Partnership; the wealth of experience that they bring will be invaluable to MI³, and where appropriate, to the broader Plato group. They will be a highly valuable resource and we look forward to working closely with them on many of the exciting initiatives we have in the pipeline.”

Nej D’jelal, Plato Co-Chair and Managing Director, Head of Electronic Equities Product, EMEA at Barclays commented: “MI³ marks a significant milestone in Plato Partnership’s journey towards a more empirical approach to market structure evolution. The commitment of leading academics such as Andrei and Doyne reflects the exciting proposition that is Plato Partnership; a positive sentiment that is echoed by many in the industry who have expressed a desire to be involved in this important initiative for the benefit of end investors.

Plato Partnership, a not-for-profit industry group representing the buy and sell side, has come together with a vision of improving market structure in Europe. The group’s key aims are to reduce trading costs, simplify market structure and act as a champion for end investors. Plato recently announced its first partnership by entering into a Cooperation Agreement with Turquoise, a leading pan-European MTF. This agreement delivers Plato’s first step in seeking to drive positive change in the market by increasing efficiencies in anonymous European equity block trading.