How InterTrader http://www.financial-spread-betting.com/intertrader/intertrader.htmll Handles Re-Quotes and Order Confirmation Times. If you're market neutral with no dealing desk, then why are there delays of execution during periods of high volatility? During periods of high volatility, the market at times is illiquid, so execution takes more time as you need to source the amount required. Please explain how you handle re-quotes and order confirmation times. If I place an order will the price be re-quoted? My understanding is that orders at InterTrader at either ‘filled’ or killed’ – but will clients have the opportunity to deal at the next available ‘best price’? How frequent does slippage happen in practice?
InterTrader does not take positions against clients but it still depends on liquidity providers to execute trades – but what happens if there was a similar incident to the Swiss franc where the Swiss National Bank abandoned the cap on the current’s value against the euro? Liquidity from liquidity providers instantly dried then – what would happen to InterTrader and your clients in such a scenario? As long as you are able to trade on the exchange itself, we will be able to execute on the market. If there is no liquidity on the exchange, its a different matter but this rarely happens.
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