Straticator is a front to back online trading platform. The platform has an integrated back office. The front-end allows end users and dealers to trade and manage order flows. The back office allows the broker to manage users, accounts, positions, cash etc. Instruments, price feeds, rollovers and more are also managed from the back office. The administrators of the back office can set up various filters and access rights for its users.
Setting up and managing users can be done via the back office. The sign-up process or the broker collects all user information in the built-in CRM or via the API communicating with a third party CRM.
The back office allows the broker to set up various margin levels on accounts. This leverage group function allows the broker to define different groups with margin levels to handle all types of risk profiles. A broker can define multiple leverage groups allowing the broker to handle all types of clients from institutional to retail end-users.
Straticator data management is coupled with our trading servers and designed to be a keystone data services solution controlling and taking command of the exchange and risk data. Our data management controls all instrument data such as symbols, long/short, pip size etc. Our data management tool are also controlling user and margin data allowing the risk manager to set the leveraging on symbols and user groups.
The back office allows the broker to setup various groups for generating revenue on client flow. The price mark-up function allows the broker to mark-up the interbank market prices and charge fees. A broker can define as multiple price mark-up groups and charging models for optimizing of revenues and at the same time allowing the broker to handle all types of clients from institutional to retail end users.
Accounts are always related to a user. Any user can have multiple accounts in multiple currencies. The margin management cross checks the margin requirement across all accounts and assets. The multi-currency account structure allows the user to manage orders, trades and cash on each single account. It also gives you a breakdown on each symbol and currency exposure for each account.
Deposit and Withdrawal
The broker manages the bank accounts and client accounts. Deposits and withdrawals allow the broker to deposit and withdraw funds to and from client accounts. Bank accounts can be reconciled with the total of client funds.
FIFO (first-in-first-out) is the industry standard for broker dealers and prime brokers. FIFO assumes that the assets that are remaining in inventory are matched to the assets that are most recently purchased. Because of this assumption, there are a number of tax minimization strategies associated with using the FIFO asset-management and valuation method.
Weighted average accounting
The weighted average method calculates the average price based on open trades regardless of when opened. Weighted average method close or reduce positions on calculating a new average price. In other words, weighted average uses the formula: Total cost of items in inventory available for sale divided by total number of units available for sale.
Rollovers are calculated as interest swaps. The interest swap can be based on the Libor rates or calculated from tom/next. The rollovers then run automatically after fixing at 5pm E.T. The interest swap is charged daily on end-user accounts.
The back office allows both the broker and the end-user to run historical reports for trades, orders, and account transactions. The broker can also run reports on top level to see across all orders, trades and account transactions or simply look at specific IBs to get reports on second level. The reporting includes statistics on trades, user activity and login history etc.
The reporting tool also allows the broker to run reports on revenue generated from trades, interest and fees.
The trade analytics allows the broker to run analytics showing different analysis based on the trade flow, such as volume traded, specific instruments, long and short trades etc. Exposure can also be analyzed by looking at the instrument exposure or currency exposure respectively for the end-user, IB or broker. The trade analytics can be customized to run specific analysis on the trade flow.
Orders, trades, executions, amends and rejections can be monitored in the FIX trading gateway log. Other messages such as login to third party FIX can be read from the FIX logs. This allows the broker to reconcile third-party trades and analyze logs in order to assist clients.
It is possible to setup multiple FIX connections allowing primary and secondary liquidity providers or multiple liquidity providers.
Backtesting is a test of an algorithm and a strategy before being executed into a robot. The function enables a broker to view the status of all algo’s running and backtest results from all the algo’s.