April 29, 2025 — The line between single-stock trading and program trading in U.S. equities is blurring as program trades shift to electronic execution and single-stock algorithms become increasingly sophisticated.
Program trades accounted for approximately $79 billion in daily trading activity in 2024, or roughly 13% of total U.S. equity trading volume. Nearly half (46%) of those program trades were executed electronically in 2024, up from 35% just two years ago. The move to electronic execution within program trading reflects a broader shift toward e-trading. The buy-side firms participating in a recent study expect “low-touch” trading to grow to almost half of their overall U.S. equity trading volume in the next three years.
Within that basket of “low touch” trades, the distinction between single-stock and program trading is gradually eroding due to continued advances in algorithmic trading. Algos are getting more sophisticated, moving beyond traditional benchmark strategies (e.g., VWAP, TWAP, Arrival etc.) toward highly tailored, adaptive models—whether scheduled or liquidity-seeking.
“Today’s traditional single-stock algorithms are savvy are enough to be used to execute baskets of orders as single programs,” says Jesse Forster, Senior Analyst at Crisil Coalition Greenwich Market Structure & Technology and author of U.S. Equity Program Trading Market Trends: A Shift to Electronic. “Between workflow innovation and good old-fashion inflation, the definition of program trading itself is now in flux.”
Rather than making hard distinctions between single-stock and program trades, the buy side is increasingly focusing on the broader choice between high-touch and low-touch execution—and they are often relying on broker sales traders to help them navigate these options.
“While electronic trading is becoming more prevalent, high-touch sales traders still play a vital role in program trading, particularly for complex orders or those involving non-U.S. constituents,” says Jesse Forster. “Buy-side traders value the expertise and risk management capabilities of high-touch sales traders.”
For buy-side traders, the overriding goal is to find the execution method that will deliver the best trade outcome. More than 60% of these traders name performance and minimizing market impact as the most important factor they consider when choosing a program trading factors. Sales coverage and electronic trading capabilities are also important criteria.
The shift to electronic execution and the associated need for scale could fuel consolidation in the program trading space as smaller or regional brokers struggle to compete with the technology and capital intensity offered by larger banks.
“However, we believe the story is still being written as brokers of all size are still innovate and invest in next-generation program-specific strategies,” says Jesse Forster.
U.S. Equity Program Trading Market Trends: A Shift to Electronic, examines the growth and evolution of program trading, including overall usage and volumes, electronic versus high touch execution, the shrinking difference between single-stock and program trades, and the factors the buy side considers when selecting a broker program trading platform.