The high-speed, electronic and efficient algorithmic version of an open outcry pit.

PDQ ATS, Inc. operates the PDQ ATS, an innovative trading platform licensed from and featuring the patented technology of software development firm PDQ Enterprises, LLC. PDQ Enterprises was founded by Christopher Keith, former Chief Technology Officer of NYSE, and received patent protection in January 2008 for its process of allowing algorithms to spawn contra liquidity in response to order flow.

PDQ ATS is a new equity trading venue that offers increased liquidity discovery and potential price improvement through the aggregation of an “electronic algorithmic crowd” of automated market makers competing for order flow. Powered by an algorithm hosting facility and proprietary response mechanism, PDQ ATS emulates the interaction and dynamism of traditional pit floor brokers, while retaining the anonymity and confidentiality of a dark pool.

In the high-speed, high-frequency electronic market it is almost impossible to answer the question “What is the market?”. By creating an electronic algorithmic crowd competing for order flow, PDQ restores this critical element to the marketplace. When an order is received by PDQ, the order is paused for up to 20 milliseconds, and in that time when the competing algorithms respond with contra liquidity the answer to the question of “What is the market?” is formed. It is the same process as an open outcry pit; a good broker asks the crowd “What is the Market?” and the members of the crowd are rewarded by responding quickly and aggressively.

All orders are confidential and there is no information leakage or gaming of orders because the Liquidity Provider responding algorithms are hosted and operated within the PDQ facility. These algorithms are updated with streaming valuations from the Liquidity Provider’s home office, but are blocked from returning any Liquidity Seeking order information to their home office.

PDQ stands for Procedure Derived Quotes and is a registered broker dealer.