Custom trading software for a derivatives trading company

Derivatives trading, or one of its categories, options trading, helps large business corporations manage/spread out risks concerning the buying or selling of assets. Buying/selling assets via derivatives has the weakness of not necessarily allowing an increase in profits due to certain uncontrolled parameters. In fact, derivatives trading can even be counterproductive in cases where market parameters have not been in your favor when they were set. An example is the risks caused due to volatility in asset values.
Below are some of the risks associated with derivatives trading. Both large corporations as well as individual investors can find themselves facing such unhappy situations.

Volatility
The underlying asset on which the contract is based can change its market value. Higher volatility may result in biased profits in favor of one party in the contract. One party can end up losing profits due to the volatile nature of asset value.

Market Risk
Economic factors such as fiscal and current account deficits and international markets have a huge impact on trading instrument prices. Thorough research/consultation is recommended before trading/investing in derivatives.
Considering the risks mentioned, it would be beneficial to buy and sell derivatives when the requirements of both users and sellers match at a point. However, this type of requirements matching is easier said than done, as it requires considerable research, insight, and analysis—an area where custom trading software can significantly help.

Desktop Application for Matching Trading Requirements
The custom trading software is designed to match two types of trades. The client server will match the trades and alert an internal trader to the match. This match will then be manually sent to an exchange by the internal trader to be traded. The trade will be considered “executed” once completed. The client will have no direct link to any marketplace.

The software to match trades was designed to display quotations and order information in real-time. The maximum allowable latency from the time an order is entered by a customer to the time it is visible to all terminals is 0.25 seconds.

Also, while data is traveling over the open internet, we need to accomplish three things:

1. Absolute data security: The strongest possible encryption methods were used to ensure data safety and security.
2. Zero data corruption: Since large sums of money will be transacted based on data entered, the data sent/received has to be accurate.
3. Unauthorized data access: A foolproof method was used to ensure that no unauthorized person/entity can decompile the software to access information from the server.

For equity finance trades using listed options to match buyers and sellers of stock financing.
Ensures real-time access to current quotations and order information as crucial factors of listed options in equity trade finance.

The functional points will include the following portals:
1. Admin Portal
2. Customer Terminal
3. Traders Terminal