Risk Management

ProTrader is powerful trading software for retail and institutional brokerage. Orders received from clients can be routed to a choice of destinations. Routing destinations can be internal (local orders) or external: exchanges, ECNs, brokers, market makers, banks. Such destination can be defined for each user (or user group) depending on order volume criteria or other factors.

A-book: Order routing

ProTrader trading platform allows sending orders to external systems in order to hedge risks and make profit on commissions.

External order routing enables integrating ProTrader with other trading platforms (liquidity providers): ECNs, exchanges, banks, brokers, that can also serve as external feeds from which ProTrader receives quotes.

ProTrader trading platform provides a long list of external feeds such as: Integral, Currenex, JPMorgan, NeoNet, DGCX, Patsystems, FFastFill, MBTrading, IQFeed etc.

ProTrader is able to provide route from one ProTrader server to another and thus build a sub-brokerage configuration.

ProTrader is equipped with best price aggregation tool which is called Smart route. Smart route receives data from several external feeds at the same time. Then trading system compares incoming data (trades, bid/ask, volume etc.), chooses the best price from the list of liquidity providers' offers and creates quotes.

Smart Route makes it possible to integrate different routes together and extract the best quotes from each. Best price aggregator is able to work with both protocols (Level1 and Level2).

B-book: Dealing desk

Some companies prefer taking full trading risks on their side (Market Making), and basically keep all orders locally, rather than route them to third party. ProTrader is equipped with three level risk management tool.

I. Simple settings for each user (or user group) allows to map different kind of orders depending on amount and instrument to different destinations, which can be external route (STP, a-book) or local (b-book). This solution is simple and useful for most clients.

II. ProTrader trading platform has very flexible Risk Management engine based on scripting language. It allows creating any rules for order routing and execution.  This is professional way to automate any dealing strategy which broker requires.

III. Risk management with manual dealing. In this case broker can confirm or refuse users’ trading request manually. It is not very efficient to control all trades manually but it is usually used to control most critical accounts, instruments or trading during some time periods.