InfoReach Enhances Risk Tool

The tool offers the ability to monitor and control risk in real time across a broad spectrum of firm-specific requirements for multiple asset classes. Pre-defined risk checks trigger alerts, allowing users to adjust trades or block the release of non-compliant orders. Risk limits can be established for variables like trader, instrument, position, unit, and destination.

Recent enhancements include "throttling," where users can monitor and control orders based on how frequently they go out. If somebody is sending too many orders to the market in the same instrument, InfoReach can analyze it and reject it based on the trader's preconfigured tolerance.

For firms using more than one trading platform trading through multiple brokers, the InfoReach risk limits component can be used to aggregate risk globally across asset classes and trade execution platforms onto one graphical user interface (GUI).

"We started deploying our technology in firms that use different order management systems (OMSs) and execution management systems (EMSs)," says InfoReach CEO Allen Zaydlin. "But they need to aggregate their risk. There is no single platform that allows them, while trading using different technologies, to control the risk. So now we have firms that use our product as a gateway to reach all other systems and their proprietary models and algorithms, routing orders to the counterparts, but it subjects the entire firms order flow to their preconfigured risk control levels."