Liquidity
Providers (LP's)
LPs play a vital role in the Forex market by maintaining a steady flow of funds and facilitating seamless currency exchanges. This is essential for ensuring price stability,
especially given the significant volume of trading in the market.
The pool of liquidity providers extends beyond major banks to include a diverse range of participants.
Non-bank market makers, ECNs and prime brokers play integral roles in creating a diverse and robust global Forex trading market. While ECNs connect participants from different locations for direct trades, prime brokers provide crucial services that allow smaller market players to access necessary liquidity for successful trading. This combined effort creates an enriched ecosystem that is the backbone of the Forex market.
MAJOR WAYS
IN WHICH THEY MAKE A NOTABLE IMPACT
The presence of liquidity providers fosters a
competitive atmosphere that is advantageous for traders, as it reduces trading expenses. When these providers vie to offer the most favorable buy and sell prices, it results in a narrower spread between them.
Lower Transaction Fees
The prompt execution of trades is essential in the high-speed Forex industry, where currency values can vary rapidly within a matter of seconds. The LPs continuously provide real-time prices, allowing traders to
instantly purchase or sell financial instruments at current market rates.
Execution Of Trades
When the trade price does not match the expected price, it results in slippage. With an abundance of liquidity providers present, ensuring high liquidity, there is a higher likelihood of trades being executed close to the desired price, hence reducing slippage.
Slippage
As a technology provider, we maintain a neutral stance in connecting brokers with Liquidity Providers (LPs). Through our strategic partnerships with numerous top market makers and banks, we provide our clients with a diverse selection of options for choosing the perfect LP for their company. Our team is here to assist you in finding an LP that aligns with your business model. For a comprehensive list of our integrated LP's, please reach out to our sales department.
Liquidity / Risk Management Tool
It has been proven to be highly beneficial in identifying potential hazards and devising strategies to mitigate them. With its reliable features, Risk Tool is a valuable asset in any risk management plan. Having the capability to proactively recognize and mitigate market risks within the portfolio is crucial for maintaining strong business sustainability and maximizing performance, regardless of market conditions. Our risk management tool eliminates the need for manual data analysis and automates the production of comprehensive analytical information, essential for traders, risk officers, and executives. This allows us to stay in control and proactively hedge against potential risks before they escalate.
The operational process of the system is as follows:
01
Cutting-edge Risk Management
It seamlessly integrates with various trading platforms and execution systems, including MetaTrader 4 - 5, cTrader, FIX compliant platforms, and bridges used by brokers.
02
Multilingual Functionality
It collects vast quantities of unprocessed trading data from various platforms and bridges, while continuously analyzing it in real-time.
03
Advanced Tech
By leveraging data, this system provides a holistic approach to risk management.
It offers analytical insights, alerts for potential risks, and proactive suggestions
for mitigating them in a timely manner.