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PAIR<GO> OverviewBLOOMBERG TRADEBOOK ®  

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Seeking Best Execution for Pairs and

Merger Arbitrage Strategies

PAIR<Go> is an intuitive platform that models and takes advantage of your ratio-adjusted, absolute o

merger statistical arbitrage opportunities. The execution algorithms leverage all of Bloomberg

Tradebook’s advanced routing and dark execution capabilities to help you seek price improvement

opportunities.

Creating Spread and Ratio

Spread Strategies are used with a

Spread Price based on the differencebetween two securities.

(price of sell stock) – (price of buy 

stock) = absolute spread price  

Ratio Strategies can be used with a

Ratio Price based on the percentage 

move between two securities.

(price of sell stock) / (price of buy 

stock) = Ratio-adjusted spread price 

Creating a Merger ArbitrageStrategy

Merger Strategy is simple ascompleting the acquisition strategyannouncement in the ticket:

1 share of ABC converts to X shares of DEF plus cash of Z  

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Nothing in this document constitutes an offer or a solicitation of an offer to buy or sell any security or other financial instrument or constitutes any investment advice or recommendation of any security or other financial instrument. Any symbols displayed are for illustrative purposes only. BLOOMBERG TRADEBOOK believes that the information herein was obtained from reliablesources but does not guarantee its accuracy.

Communicated by Bloomberg Tradebook Europe Limited, registered in England & Wales No. 3556095, authorized and regulated by the UK Financial Services Authority No. 187492. Thiscommunication is directed only at persons who have professional experience in the investments which may be traded over the systems and certain high net worth organizations.

Bloomberg Tradebook LLC member of FINRA (www.finra.org)/ SIPC/NFA. Bloomberg Tradebook do Brasil is the representative of Bloomberg Tradebook LLC in Brazil registered with the

BACEN. Bloomberg Tradebook Services LLC, Bloomberg Tradebook Australia PTY LTD ABN 36 091 542 077 ACN 091 542 077, Bloomberg Tradebook Do Brasil LTDA., Bloomberg TradebookCanada Company Member of CIPF, Bloomberg Tradebook Limited, Bloomberg Tradebook Hong Kong Limited the f irst ATS authorized by the SFC–AFU 977, Bloomberg Tradebook JapanLimited member of JSDA/JIPF, Bloomberg Trading Services Japan LTD, Bloomberg Tradebook Singapore Pte Ltd Company No. 200104338R, Bloomberg Trading Services (Singapore) Pte LtdCompany No. 200101232G. Bloomberg Tradebook Bermuda LTD, licensed to conduct Investment Business by the Bermuda Monetary Authority.

BLOOMBERG, BLOOMBERG PROFESSIONAL, BLOOMBERG TRADEBOOK, are trademarks and service marks of Bloomberg Finance L.P.("BFLP"), a Delaware limited partnership, or its

subsidiaries.

Advanced Risk Management and

Automatic Slippage Control 

All pairs strategies will get “legged” at one

point or another. An often overlooked

component in an arbitrage strategy algorithmis Execution Slippage Control. Tradebook

enables you to set parameters to make the

algorithm operate in a manner similar to how

you would handle the legged event yourself.

Many algorithms just rush to the market to

clean up the event; others just wait and make

the slippage worse. Tradebook enables you

to wait a user-specified period of time and if

the market continues to slip, then

automatically take control or alert/prompt the

trader that they need to take control. 

Innovative Arbitrage StrategyExecution Management 

The PAIR blotter and strategy modificationscreen provides essential information for youto better manage and control your strategies.Choose from over 75 market data fields andcustomize your view to provide you with aninstantaneous understanding of how yourstrategies are positioned in the market

Integration with the BloombergProfessional  ® serviceIntraday graphs can be launched directly fromthe PAIR blotter so you can quickly see wherethe market is moving for your PAIR.

Merger Strategy can be launched directlyfrom MARB<GO> with the deal detailsalready pre-populated.