ThinkLiquidity, a trading risk management solutions provider, announced the launch of a transaction scoring system featured in its new web application QuantView.
According to ThinkLiquidity, the new system delivers robust performance metrics on trades conducted over electronic trading platforms and can be used by trade desks and risk managers to assess order flow and improve risk management.
The transaction scoring system was developed by ThinkLiquidity’s quantitative and development teams. It rates the entry, exit and overall quality of every transaction passing through the computation engine and assigns scores. According to Jeff Wilkins, managing director of ThinkLiquidity, the scoring system can determine whether a trader is good, bad, lucky or skilled.
Wilkins notes that the data engine has very broad application potential. It can be used by OTC brokerage companies, proprietary trading firms, market data providers as well as individual traders.
“There’s no other product available that makes it so easy to see key trading metrics on both a micro and macro level,” said Wilkins. “Smaller shops often do risk management from the bottom up, looking at individual accounts. Our scoring system grades every trade and assembles the data into an Account Scorecard. Larger brokerages and trading desks are more concerned about risk limits and want insight into when and what to hedge. We aggregate all the data we have on individual trades to provide context on market exposures. Risk managers can use this data not only to better categorize individual accounts but position themselves to better take advantage of market conditions.”
According to Wilkins, QuantView allows brokers to view real time exposure on different segment of their book. It lets them filter by average hold time to see how short term traders and the exposure on the big trades. The system also generates and keeps all kinds of statistics that can be used to segment exposures.
ThinkLiquidity is based in the US and focuses on risk management solutions. It provides MT4 and MT5 bridge solutions, trading technology solutions and IT managed solutions.