Trading and Broker Communications
The Trading and Communication module of TheBooks provides the tools you need to manage the order entry and trading activity notification process. It handles all of the paper work and communication associated with placing and reporting trades, leaving you with more time to research and trade your strategies.
Order entry, placement and management
You quickly enter your orders as the number of contracts for the order or as the number of contracts per million of account trading size. The system automatically assigns the appropriate number of contracts to your accounts. The Trading and Communication module handles futures, forwards, FX, Swaps, Equities and options on all of these. Both day trades and GTC orders are supported. There’s also an API you can use to enter orders directly from your order generator into the Trading and Communication module from anywhere in your network. When you place the order, the Trading and Communication module automatically sends a breakdown to the execution desk or into the market if an execution gateway is installed.
Fill entry and allocation
Enter the quantity and fill price pairs and click OK. That’s all there is to it. The Trading and Communication module handles High to Low, Low to High, and Average Price allocations. It also knows how to allocate partial fills. You define where accounts go within the sort order. For traders that trade their own accounts along with their client’s, they can specify that their accounts should always receive the worst fills.
Execution Gateways
Execution Gateways extend the Trading Desk concept in TheBooks and allows the routing trades directly to exchanges for execution. As trades are filled, they are automatically updated in TheBooks and for those gateways that have an associated trading platform, such as Open E Cry, trades can be worked from within the platform; TheBooks automatically records your actions.
Advanced Execution Options
TheBooks provides several advanced execution options tailored to systematic institutional advisors:
- Iceberged limit orders
- Virtual trading days
- Custom handling of blown stops on order release
- MOO and MOC gap handling
Electronic Give-up
When the trade is complete, TheBooks performs fill price allocation to the accounts which make up the trade and give-up and breakdown information is passed electronically to the clearing brokers, providing seamless execution and reporting of the trade.
Straight-Through Processing
Whether a trade originates in the trading platform, generated by software, or is manually created in TheBooks, trade processing and reporting is automatically performed. The goal of complete automation, from trade inception through performance fee calculation is now a reality.
Relationship definition
The Trading and Communication module provides a sophisticated relationship definition tool, allowing you to define the relationships you have with your brokers and clients. You can associate Interested Parties with accounts and specify the frequency of notification (per-trade or daily) and the exchanges the party cares about. This means that the clearing broker who handles the Chicago markets won’t get an email that contains trades from the New York markets. Brokers will get activity for only those accounts they clear, minimizing the chances for clearing errors.
Breakdown email and fax
The emailing of breakdowns and activity reports is handled automatically as you perform your trades. Breakdowns are sent to the executing broker. Activity reports are sent to Interested Parties as the trades are filled or at the end of the day.
You configure each recipient’s preferred format; either an emailed report (an PDF document), or file suitable for importing into database or spreadsheet applications. Data files can be customized on a per-recipient basis and can be sent via FTP or as a FAX as well.
Notifications happen automatically as you trade and are sent from the server, leaving your workstation free to monitor markets, perform additional trades, or other activities.