BestEx Research Launches Predictive Transaction Cost Model for US Equities
BestEx Research Group has launched the Pulse Market Impact Model, a predictive transaction cost model designed to enhance portfolio construction and trading strategy optimization. The new tool provides symbol-level estimates of execution costs based on order size, speed, duration, and time of day. Unlike traditional models that often overlook intraday timing effects, this approach accounts for how these factors interact across various market conditions. The Pulse Market Impact Model was developed using a hybrid methodology combining institutional parent orders with transaction cost data from TAQ. It has demonstrated high accuracy in out-of-sample testing, predicting costs within fractions of a basis point under diverse trading scenarios. The model is accessible through multiple interfaces including AI assistants, REST API, and the AMS One platform. BestEx emphasizes that accurate pre-trade analytics are essential for portfolio managers to make informed decisions on position sizing and execution strategies. With this launch, BestEx continues expanding its suite of tools across US equities and global futures.
Topics: execution_algorithms portfolio_construction transaction_cost_models