Horizon Platform for Options Trading is specially designed for options market making or market taking. The trader defines and manages volatility curves within the models available in the system. This volatility curves are automatically or manually implied using semi parametric models, according to the different settings offered by the platform such as put/call range adjustment, addition of external volatility points from lasts or other sources, etc. Real time volatility charts allows to monitor the market. When combined with heat maps, those features are formidable tools to look for some edges. Also, it is possible to model the dynamic of the volatility from the market experience.
When the trader makes the market, the system automatically complies with the exchange or platform expectations to cope with the rules defined. Thanks to predefined parameters of the platform, different levels of risk are available. Depending of the exposure or the last executions, trader can define some conservative algorithms in order to automatically withdraw its quotes from the market. Inputting volatility orders or monitoring any opportunity in the market is also part of the default settings. Option trading features managing the volatility are combined with some automation logics to seize opportunities or to avoid arbitrages. Moreover, anti-gaming tools come with some pre-trade risk management dedicated for option trading.
Derivative Position Management:
Trader can monitor the position and exposure in the market through some dedicated screens. Some strategies can automatically be triggered to minimize the observed risk based on the risk analysis scenarios and shock simulations within the platform. The risk management views provide in a glance all the exposure information that a trader would expect from an option platform, thanks to efficient layout and colours.
Option Strategies trading:
The management of option strategies is facilitated through some dedicated views. There are views for listed strategies and OTC strategies. Those views have been built in to maximize the efficiency of the trader.
Horizon Platform for Options Trading can benefit from Horizon’s algorithmic trading system. Proprietary trading algorithms can be developed, tested and deployed for improved performance.