Smart Order Routing
The routing engine evaluates all connected venues and determines an execution path that minimizes effective cost while satisfying the requested exposure. The decision is not based only on top price but on executable depth, fill probability, and resulting position impact.
Routing Priority Logic
Executable Price
Best achievable probability
Primary selection
Available Depth
Can order complete
Prevents thin venue selection
Fill Continuity
Avoid fragmented execution
Prefers stable liquidity
Latency
Update reliability
Avoids stale quotes
Position Impact
Net exposure change
Prevents unnecessary opposite fills
Venue Selection
At submission, the engine identifies where the order can realistically begin execution. The displayed best price is not always chosen; a venue must also support continuation of the trade. A slightly worse price with reliable liquidity may be preferred over a better quote that disappears after a small fill.
After each partial fill, the decision is recalculated. The order may therefore move between venues during the same execution as conditions change.
Partial Order Execution Handling
If the requested size exceeds the available liquidity at a selected venue, the order does not fail. Instead, the remaining quantity is routed to other venues that can continue the fill. This process repeats until the order completes or liquidity becomes insufficient.
From the user’s perspective the trade behaves as one continuous action, even though internally it may consist of several executions across different platforms.
Example progression
1
Venue B
70
30
2
Venue A
20
10
3
Venue C
10
0
Slippage Control Logic
While consuming liquidity, the act of trading itself can move the market. The engine monitors the difference between the expected entry probability and the currently reachable probability. If the deviation becomes too large, the router pauses or stops execution rather than completing the trade at significantly worse conditions.
This ensures the system prioritizes execution quality over forced completion.
Position Netting Management
Fills originating from different venues are merged into a single exposure state. Opposite positions offset automatically, so the system tracks the final event risk rather than separate venue balances.
This means multiple trades across platforms behave as one coherent position, simplifying both exposure tracking and settlement.
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