Each brokerage company faces a number of difficulties and risks that are present in this direction. To stay afloat and build a profitable company, the broker must be able to manage risks and control them. First of all, this applies to those firms that are experiencing financial difficulties due to a large withdrawal of funds. This is a typical problem for a company whose clients are trading on the broker’s internal server. To avoid these problems, we present to your attention an innovative broker tool – fix api splitter (http://4fxbrokers.com/fix-api-splitter/).
Fix api splitter is software that allows you to implement part of the client operations on the clearing center. This approach allows you to severalfold reduce the risk from the client transactions, and will also become an indispensable tool for covering a part of the trading operations.
A lot of brokers do not allow their clients to trade through the FIX financial protocol. And those who give such a possibility, set a condition under which it is necessary to have several additional zeros on your trading account. And this is understandable, because it is not a cheap pleasure to realize a trading operation in the clearing center. For each transaction, you need to pay separately and to make it profitable for the broker, it is necessary that the client pays more commission, but this in turn does not suit the trader. However, our ten-year experience allowed us to create a software package at the most affordable price on the market.
The feature of the fix api splitter is that you do not have to supply each trader transaction to the prime broker and pay for the transaction. You just need to create an account for the client inside our program, and then bind it to the fix api splitter. Thus, all operations on the fix api will go to this software, and from it they will go to the prime broker. This will allow you to pay only for using one account. For example, there are 1000 clients connected to the fix api splitter. In the clearing, the fee for each account is $5. Using our software, you will pay only these $5, and if you connect each fix api account to the prime broker, then the fee would be $5000.
The process of connecting and configuring the program is quite simple. You can use it together with our FX MARS BRIDGE product or separately. To configure an account inside the fix api splitter, you must first create it. The account creation has basic settings: login, password, and ID, which must be unique. After that, you connect the server by choosing between MT4 or the prime broker. You should pay attention to the fact that you have the opportunity to issue additional commissions in the form of swaps, spreads, as well as payment for the implementation of the transaction. However, for this it is necessary for the account to pass through the b-book system. After this adjustment, you immediately have the opportunity to trade both at the market quotes and with the help of pending orders.
The execution of trading operations through fix api splitter has a minimum execution time, which is great for making speculative trading and trading at a time of increased volatility. However, this is by no means all functionality and we recommend offering the possibility of trading through a financial protocol to the following groups of traders:
- Algorithmic traders. If your customers are trading with the help of trading robots, for example, using the HFT methodology, scalping strategy or arbitrage strategy. It is for these groups that it is best to offer fix api splitter because this software will simplify and accelerate the execution of trading orders on this method. Moreover, these groups also carry increased risks to your business. If you block algorithmic trading operations in the market, this will allow you to keep the current customers, and will not cause an imbalance in your liquidity.
- Traders with an increased volume of trading operations. Often, those who trade in a large volume, do not do many trading operations, but are also able to break the balance of the internal overlap. If your client base of active traders is not so big, difficulties in overlapping the trade data could arise. The whole volume for any instrument will be concentrated from the result of one client and you need to overlap his applications. That is why, it is best to give the client an opportunity to make transactions in the prime broker.
- News speculators. Trade at the time of publication of fundamental data may cause increased volatility and non-market quotes due to delays. To provide an opportunity for a trader to make speculative deals in the moment, it’s best to supply them to the market with the fix api splitter.
- A group of traders who trade in risky or exotic trading operations. Similarly, as with the increased volume, those who trade with “exotics” will break the balance and you will have to close transactions from your pocket or on the market. But often, the cost for liquidity of exotic assets is much higher than traditional ones, which will increase your spending part. By providing an opportunity for a trader to open transactions through the fix api splitter, you will also reduce your brokerage risks and put the client base of traders on an automatic overlap.
Spotting out the data of a customers’ group, they will switch to trading using the fix api, then you will reduce your brokerage risks by several times. If you are just starting your brokerage business, the start with the fix api splitter is an excellent tool for reducing the adjustable part of the company and increasing loyalty from the traders, which in the future will give you more customers.
Summing up a little, you should pay attention to the opportunity that you get with the fix api splitter. The presence of this software will be able to distinguish your company among the gray crowd. Today, there is a daily struggle for the trader and undoubtedly, the one who uses modern technical achievements will win.