Trading Services That Help You Build Alpha, Not Overhead
Outsourced trading isn’t what it used to be—and that’s a good thing.
The next generation of outsourced trading is defined by two accelerating trends: increasingly complex strategies and increasingly sophisticated managers. Once-niche trading strategies are now part of the day-one toolkit for many emerging funds. Automation, integration and real-time analytics are no longer “nice to have.” They’re essential components for efficiency, scalability and the transparency that investors require.
This evolution has sparked a shift in what managers expect from their outsourced trading partners. Every fund either has—or urgently needs—a tech strategy. Brokerage and execution are no longer enough. What matters is the ability to scale, to plug in at any stage of a firm’s growth and to deliver technology that integrates into workflows and unlocks real efficiency.
Today’s outsourced trading isn’t about replacing an in-house desk. It’s about enabling growth, agility and focus. At Clear Street, we believe the future belongs to providers that combine high-touch service provided by experienced professionals, with best-in-class technology that moves the needle. Real-time data, seamless connectivity and tailored support: this is what defines the new standard.
This is why we’ve assembled a leadership team that collectively possesses decades of experience establishing and growing desks at firms such as UBS, State Street Global Markets and Wells Fargo. And it’s why we’re building out our desk with deeply experienced traders who function as an extension of our clients’ teams.
Whether you’re a new launch navigating your first trades or a scaled (or established) fund entering new asset types or geographies, your trading partner should flex with you—providing insight, bandwidth and infrastructure exactly where you need it.
This philosophy is taking root as more funds adopt “co-sourcing” or hybrid models with their partners. No two strategies or teams are alike. Some managers need “burst” capacity during quarter-end. Others want access to specialized, "on call" market expertise without adding permanent headcount. The strongest outsourced trading desks are built to be modular, strategic and seamless.
As Clear Street announces the official launch of our outsourced trading offering, here are a few of the ways we’ve supported clients so far, across a spectrum of outsourced trading use cases:
- A startup long/short hedge fund that fully outsources its trading, allowing the founders to focus on their investments and building their business
- A scale-up fund with a strong internal desk that needs on-demand access to additional capacity and the ability to activate new regions, products and markets at speed
- A mature hedge fund that wants to right-size its trading desk without sacrificing expertise
As you consider your path, ask yourself:
- What am I/will I be trading? How will I trade it?
- What is broken, or just has room for improvement, in my trading today?
- When are the busy days where we need extra capacity?
- Do we have “Key Person Risk” in the event of illness or other unforeseen circumstances?
- I have a trader or two who have been here since Day One. Do they have more to offer in other areas of the business, like middle office or sales and marketing?
- Could we benefit from access to research, relationships, capital introduction, etc.?
- Will I want to be set up to take in SMAs?
- Does technology independence matter (and if so, can I efficiently manage multiple third parties), or is it more efficient to get critical systems from a single firm?
- How flexible is my current trading infrastructure?
As one of our product leads put it: “Build what makes you different and buy what doesn’t.” Your trading operation should be an edge, not a bottleneck. Your partners should help you raise capital, differentiate and drive alpha—not just execute orders.
That’s why we’re reimagining outsourced trading: to deliver a better experience for managers who expect more. Tech-enabled. Service-driven. Built to scale. Ready to grow with you, from day one.
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