Splash Image Reflex Use Cases

A common problem in trading technologies, which is often solved in various ways and to varying degrees of performance, is that a software program must synthesize (integrate) several different external inputs efficiently before swiftly reacting to them and producing its own output. As well as speed, most solutions also require flexibility to accept further inputs and produce further outputs in future versions as requirements shall dictate.

Firms which can quickly process the data they depend upon can make decisions faster and act more swiftly, often guaranteeing themselves advantages such as higher profits. Firms that can do this upon a highly flexible infrastructure doubly benefit themselves by remaining nimble in the face of changing market conditions, allowing themselves shorter times-to-market and first mover advantages.

Potential applications of this technology include the following:

Algorithmic Execution Venue / Strategy Execution Service
Clients submit orders which request a particular strategy, and supply the strategy's parameters. The venue performs actions spread out over time for the purposes of executing the order in a manner befitting the strategy. The Reflex platform offers efficient client connectivity and time-dependent actions which facilitate such programs.
Clients submit orders which may immediately execute or be canceled, or which become "resting" orders on the exchange's order book subject to future execution(s). For many clients with low-latency strategies, and even for clients that simply want to effectively hedge a trade, prompt delivery of whether the attempted trade succeeded or failed is of the utmost importance. As the order book is affected through matching executions, new prices must be disseminated. The Reflex platform provides efficent communications suitable for disseminating prices, efficient client connectivity for extermely low-latency responses, and an infrastructure flexible enough to implement parallelized order books.
Desks within a firm submit orders to their internal order matching engine in an attempt to find liquidity before going to the exchange (with its associated fees and publicising of information). Only if the orders are unable to find liquidity internally do they get submitted to the exchange. The speed of the Reflex platform will make sure that any delay due to this internal search is minimal, ensuring that orders will retain a high likelihood of being executable in the current market.
Prices and order book information are disseminated by exchanges in efficient on-the-wire protocols. These protocols must be processed quickly as the disseminated information often quickly becomes stale. The Reflex platform gives your developers the ability to efficiently process and filter these feeds, even if they are extremely high bandwidth and span multiple channels.
Exchanges offer efficient on-the-wire protocols for submissions by firms of trading data such as orders and quotes. Such feeds are used when time is of the essence, in order to communicate in the most efficient way possible with the exchange. The Reflex platform facilitates low level communication patterns such as this one by providing low-level abstractions that are extremely efficient in such use cases.
Strategy orders have become commonplace (e.g. TWAP, VWAP, etc.). Such orders often have a time component which underpins a pattern of fragmenting and attempting to execute smaller portions of a total order. Many trading platforms have difficulties with expressing such time-based patterns. The Reflex platform is designed to help in such situations by providing extremely light-weight time primitives, allowing your developers to effectively and concisely express any complex time-based algorithm.
In high-frequency trading, extremely fast algorithms take advantage of extremely short-lived market microstructure. Latency is the name of the game here, and only the fastest survive to trade another day. Reflex was designed and rigorously architected with such demanding performance requirements in mind. We believe you'll be satisfied that it meets them.
Market making firms must be willing at all times to both buy and sell orders. They must provide publicized quotes for the prices at which they would be willing to either buy or sell. These quotes are ultimately the distillation of many disparate pieces of information, including very fast-moving information such as price feeds (including both stock and option prices for a particular symbol). Market makers must use a system which is able to consume all of this data and churn through the calculations on it quickly enough to produce fresh quotes which keep them from being exposed to adverse trading. Reflex is a system that can handle such loads.
An order routing engine must consume market data from multiple liquidity venues and calculate its view of where the best executions for various symbols are to be had. Orders submitted to a Smart Order Router are then routed to the exchange that is expected to have the most favorable execution. Lightning fast data consumption, decision making, and communications are Reflex's specialties.
In complex event processing data are viewed as streams, often with a time component. The absence of an event being observed by a particular time is itself considered an observable event. Complex event processing systems are often high throughput and must therefore reliably process huge volumes of data. The Reflex platform provides time-based facilities out-of-the-box and is stress tested under load to ensure that it can handle the heaviest workloads.
Exchange Order Matching Engine
Internal Order Matching Engine / Systematic Internalizer
Price Data Feed Consumption
Direct Market Access
Strategy Order Types
High-Frequency Trading
Market Making
Order Routing
Complex Event Processing (CEP)
   
Deployment Assistance