Practical automation for day-to-day derivatives operations

valantic FSA’s iQderivatives solution streamlines and simplifies derivatives pricing, trading and quoting. Real-time data from external sources – exchanges, platforms and datafeeds – e.g Xetra, Eurex and Refinitiv (LSEG) – is captured within automated workflows connecting internal bank applications, managed within a client-configurable UI.

Open system architecture (icubic) supports fast, simple integration with legacy techstacks and infrastructures. Data from enterprise bank applications can be integrated with external data sources (market and reference data) to optimise pricing, quoting and trading decisions (timing and risk). iQderivatives software operates in conjunction with valantic FSA’s iMarket for RFQ functionality; and iSettle for post-trade workflow automation.

iQderivatives removes complexity and time delay from new issue creation: Users can quickly and easily create new products, allocate security identification codes, and export the data to other processes.  The defining parameters for calculating options and certificate prices are ‘live’ prices for underlying instruments, imported from multiple data sources throughout the day.

iQderivatives automates data capture from multiple sources and adjusts individual prices intelligently in line with exchange timetables. Users can determine the time periods in which prices should be captured from individual data sources for specific underlying instruments. Associated quotes (by instrument/market) can be managed individually and in groups. A ‘panic button’ function enables users to set selection criteria to trigger the rapid entry or deletion of quotes, including for multiple instruments simultaneously.

Comprehensive and intelligent plausibility checks, which are easily maintained and variably applied to quoted products, protect traders from unexpected jumps in prices caused by spontaneous exchange auctions, interruption to real-time data supply and other risk-bearing unpredictabilities.