Execution Algorithms

Algorithms that slice a parent order into child orders to minimize total cost (slippage + impact + opportunity).

Difficulty expert

Reading order

1. TWAP — time-weighted average price
2. VWAP — volume-weighted average price
3. Implementation Shortfall — arrival-price benchmark, Almgren-Chriss
4. Smart Order Routing — venue selection across fragmented markets

What you should walk away with

• A view on which algorithm fits which order profile.
• The math behind the cost / risk tradeoff that drives every execution decision.
• An understanding of why best execution isn't a single fixed strategy.