TECHNOLOGY

Trading System

The current electronic trading platform used by KBOFX is created and maintained internally. An open platform is used to develop the KBOFX Electronic Trading System (KBOFX ETS). The distribution mechanism created jointly by KBOFX and Futures businesses is used in addition to the host-to-host framework. Using a private network and the TCP/IP protocol, FCMs (Futures Commission Merchants) connect to KBOFX ETS.

KBOFX currently offers support for two different connecting protocols: Financial Information Exchange (FIX), which is widely recognized as an industry standard, and Transaction Messaging Protocol (TMP), a protocol that is proprietary to KBOFX. Each Futures Commission Merchant (FCM) has the ability to develop its own system for transmitting orders or contracts to a vendor, utilizing the protocol of their preference. Direct Market Access (DMA) is allowed on the KBOFX platform, providing traders with the opportunity to execute trades directly on the Exchange without the need for a broker's intervention.

The flexibility provided by KBOFX in supporting both FIX and TMP protocols allows FCMs to tailor their systems according to their specific requirements and preferences. This enables FCMs to efficiently transmit orders and contracts to vendors in a manner that aligns with their operational processes. Additionally, the inclusion of DMA on the KBOFX platform empowers traders by granting them direct access to the market, facilitating faster trade execution and potentially reducing latency issues. Overall, the availability of multiple connecting protocols and the allowance of DMA on KBOFX contribute to a more versatile and streamlined trading experience for market participants.

Orders from domestic or international institutional investors can be made electronically to a participating company, where they will undergo FCM credit control before being sent on to KBOFX. Because of the extensive new product listings and continued volume development at KBOFX, upgrading the present trading system by improving system hardware, updating system software, and boosting transmission efficiency is a continuous endeavour.

The KBOFX State-of-the-Art UniqTrader Technology™

UniqTrader Technology™ represents a cutting-edge electronic platform that has been developed to streamline the process of signing agreements and enables merchants to conveniently submit applications from their own workspaces. This innovative system is designed to support various modes of trading financial instruments, such as continuous double auctions with automatic application acknowledgement, as well as the ability to place contracts in unilateral auction mode. Transactions are settled based on the delivery versus payment principle, ensuring a secure and efficient trading environment.

Moreover, this electronic system is equipped to accommodate a vast number of trading terminals, making it highly versatile and accessible to a wide range of users. It is particularly geared towards facilitating trade with remote trader terminals that are connected to the system servers via the Internet, allowing for seamless and real-time transactions. With its user-friendly interface and robust features, UniqTrader Technology™ is poised to revolutionize the way users engage in trading activities, offering a convenient and efficient solution for conducting business in the digital age.

DMA Interfaces

DMA interfaces are essential tools for effectively managing the flow of order messaging and market data. Traders can choose between the native API provided by KBOFX or the industry-standard (FIX/FAST) interfaces to ensure a seamless and secure transmission of information. These interfaces act as a communication channel between the trader and the market, allowing for real-time access to market data and the ability to execute trades efficiently. By utilizing these interfaces, traders can stay connected to the market and make informed decisions based on the latest information available.

Test Environment

Our customer development environment provides a fully accessible platform for client software testing, development, and certification. Regardless of whether you need to work with standard configurations or prefer a bespoke setup, our environment is designed to meet your needs. This means that you can confidently test and certify your software, knowing that our customer development environment offers the necessary resources and flexibility. With our comprehensive platform, you can streamline your testing and development processes, ensuring that your software meets the highest standards of quality and performance.

Dedicated Access Servers

The specialized access server, located within the Client Network, plays a crucial role in enhancing the efficiency of communication between the client and the Exchange. Acting as a central point for all transactions, it facilitates seamless interaction between the client front-end system and the KBOFX trading system.

By having this dedicated access server, market users can streamline their communication processes, ensuring that all messages and requests are efficiently transmitted to the Exchange. This eliminates the need for multiple connections and intermediaries, reducing latency and potential bottlenecks in the communication flow.

Additionally, the access server offers scalability and flexibility to accommodate the growing needs of the client. It can handle a large volume of transactions and support multiple connections simultaneously, allowing for efficient and uninterrupted communication between the Exchange and its clients, even during peak trading periods.

Exchange Terminals  

Created specifically for KBOFX’s clients, these client software solutions are proprietary and completely compatible with the KBOFX Electronic Trading and Clearing System. These trading terminals provide traders with a user-friendly interface and a wide range of features to facilitate their trading activities. They allow traders to access real-time market data, execute trades, monitor their positions, and manage their portfolios.

The trading terminals offer a seamless and efficient trading experience by providing fast and reliable connectivity to the KBOFX Electronic Trading and Clearing System. Traders can easily place orders, modify or cancel existing orders, and receive instant trade confirmations.

These terminals also provide advanced charting and technical analysis tools, allowing traders to analyse market trends, identify trading opportunities, and make informed trading decisions. They offer a variety of indicators, drawing tools, and customizable chart settings to cater to the diverse needs of traders.

EDI Services  

Electronic Data Interchange (EDI) is a system that allows for the exchange of electronic documents in a secure and efficient manner. By utilizing services provided by a certification centre and specialized application services, businesses can ensure the safe and reliable transfer of information when conducting transactions or engaging in other legally binding activities. This technology streamlines the process of exchanging data between different parties, reducing the need for manual intervention and minimizing the risk of errors or discrepancies.

Through EDI, organizations can automate the exchange of business documents such as purchase orders, invoices, and shipping notices, leading to increased efficiency and cost savings. By adhering to established standards and protocols, companies can establish a seamless communication channel that facilitates the exchange of information in a standardized format. This not only improves the speed and accuracy of data transfer but also enhances the overall security of electronic transactions, ensuring that sensitive information is protected from unauthorized access or tampering.

Additional Solutions 

Simulation Server, Margin Calculation Module, Information Services, Historical Data, WEB2L.

The Simulation Server is a powerful tool that allows users to simulate various scenarios and analyse the outcomes. It provides a platform for running complex simulations and testing different strategies in a controlled environment. By using the Simulation Server, users can gain valuable insights into potential outcomes and make informed decisions based on the results.

The Margin Calculation Module is a key component of the system that helps users calculate margins accurately and efficiently. It automates the margin calculation process, taking into account various factors such as risk, volatility, and market conditions. By using the Margin Calculation Module, users can ensure that their margin requirements are calculated correctly, reducing the risk of errors and ensuring compliance with regulatory requirements.

Information Services provide users with access to a wide range of data and resources to support their decision-making process. Historical Data allows users to analyse past trends and patterns, helping them make more informed decisions about the future. WEB2L is a web-based platform that provides users with access to the system from anywhere with an internet connection, making it easy to use and convenient for users on the go.

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