Trading Technologies is branching out beyond its roots in futures and options on futures. The SaaS provider to the capital markets industry has moved, or plans to move, into FX, US options, and fixed income.
Traders Magazine caught up with Chris Heffernan, EVP Managing Director, Fixed Income at Trading Technologies, at last week’s Fixed Income Leaders Summit in Washington, DC, to learn more about TT’s plans in fixed income.
What’s your sense of the big themes from this year’s Fixed Income Leaders Summit?
FILS 2025 highlighted several transformative trends shaping the financial industry. The overarching theme was undeniably the rise of AI and its impending integration across the entire trade life cycle. From enhancing investment decision making to refining execution strategies, artificial intelligence is poised to drive significant efficiencies and optimize performance going forward.
Another prominent topic was the continued advancement in automation. While Electronic Communication Networks (ECNs) initially spurred the electronification of fixed income trading and introduced valuable rules-based automation tools like auto-quote/auto-respond and auto-ex, the industry is now keenly asking, “What’s next?”
Multi-asset trading solutions also generated considerable discussion, particularly the evolving relationship between Execution Management Systems (EMS) and Order Management Systems (OMS). A key takeaway for me, leading a multi-asset EMS business, is the clients’ urgent need for new technology that facilitates cross-asset execution while seamlessly integrating with their existing legacy systems.
Finally, the conference underscored the expansion of trade electronification into less liquid securities, such as municipal bonds and securitized products, as well as the continued ascent of portfolio trading.
These five themes collectively painted a clear picture of the industry’s direction.
You spoke on a June 9 Spotlight on Automation panel at FILS. What were the takeaways?
The three main takeaways from our panel were (1) the desired optimism surrounding continued growth in electronification and automation; (2) the evolving role of human traders in an automated world; and (3) the unfortunate reality that there will be less humans and more machines in our future.
While we have made huge strides over the last ten years in electronifying and automating bond trading, we are still noticeably behind the other major asset classes such as equities, futures, and FX. Although it is unlikely we will see a world in which 80-90%+ of all fixed income is traded on screens, there’s still plenty of room to run higher from current levels. Advancements in technology and AI will be the driving force behind this next leg up. Whereas standard “static” rules drove most of the automation over the last five years, “dynamic” rules-based automation will become front and center over the next five, with AI changing execution rules on the fly to adapt to changes in market conditions.
Automation will likely result in much fewer people on the execution side, with more trading responsibilities given to portfolio managers. By offloading monotonous trading tasks to technology, firms can free up human talent to focus on high-level strategic initiatives like block trading and in-depth research. The execution traders that remain will likely be focused on “overseeing” the automated systematic strategies, and in some cases, take on cross-asset trading roles. Portfolio managers may not be immune though either as advancements in AI could also bring about reductions in headcount. Ultimately, automation is about leveraging technological advancements to maximize the return on investment from trading desks, and that is exactly what is likely to happen. This trend mirrors what we’ve already observed in other asset classes: More machines, less humans will be trading bonds in 2035 than they are in 2025.
What is your role at Trading Technologies and what have you been working on since you joined the firm in early 2024?
I run our fixed income line of business, which is one of the largest areas of growth at the firm. Since I joined TT, I’ve essentially split my time between two main pursuits. The first is running the old AxeTrading business that TT acquired in March 2023. This is predominantly a sell-side Fixed Income EMS business, with clients throughout the globe. My second responsibility has been to assemble a team, develop a strategy, and begin building out our next-generation fixed income EMS product which will be suitable for both buy-side and sell-side firms, of all shapes and sizes. In addition, this new fixed income EMS product will be integrated with all of our other lines of business, including Futures & Options, FX, Data & Analytics, Compliance, and Execution Algos, in order to create the multi-asset trading platform that clients are seeking.
Historically, Trading Technologies isn’t known for fixed income – how are you getting the TT name out there and boosting brand awareness?
We’re taking a strategic, long-term approach to our product launch. As the saying goes, “slow at first and then all at once.” Greatness takes time, and we are not looking to put the cart before the horse. We are still building out our product, with an expected launch date in early 2026. We’ll ramp up our marketing efforts closer to that date. For now, we’re concentrating on planting seeds through conference sponsorships such as FILS and through media engagements such as this interview, to spark the conversations that are necessary to help drive innovation in our market.
What is the buy side looking for? What are they not getting from the marketplace that Trading Technologies can provide?
Simply stated: Better, faster, cheaper. Our cross-asset EMS will offer a truly unified trading experience, setting a new standard that few competitors can match. Built on technologically superior, cloud-native, and API-first architecture, the TT platform will guarantee unparalleled performance, ultra-low latency, and exceptional scalability, ensuring seamless integration with third-party software. We’re revolutionizing fixed income trading with new execution protocols, already highly effective in other asset classes, to empower clients’ trading experience. We will also be committed to driving greater automation through the advancements in AI. And we will offer all of this at affordable prices, with exceptional customer service and support. Our main goal is to create a massive trading advantage to any customers that use the TT EMS — and ultimately be branded as the #1 trading software company in capital markets.
