EUROPE / US – Electronic trading company Liquidnet, which specialises in buy side dealing for US institutions, is launching a European operation supplying anonymous block trading by the third quarter this year that will serve the Dutch, French, German, Swiss, UK and US equity markets from its European headquarters in London.

In line with the move, Liquidnet has announced the formation of its European advisory board, comprising executives from the asset managers Aegon, Baring, Britannic, Deutsche, Dresdner RCM, JP Morgan Fleming, Legal & General, Morley and T Rowe Price. The advisory board will help with the implementation of Liquidnet in Europe and its marketing.

John Barker, managing director of Liquidnet Europe, says Liquidnet was developed to help institutional investors access liquidity, preserve anonymity and save money. “We delivered what we promised in the US – anonymous block trading with little to no impact costs. Now it’s time to help institutions in Europe do the same,” he says.

David Hall, president of investment performance and trading costs consultancy firm, Plexus Group, says that their research suggests European fund managers have more difficulty trading in large blocks than their American counterparts and pay more in hidden costs.