Request for Quote
- Marvin Daði Ægisson
- Árni Lárusson
“The Request for Quote (RFQ) is a trading system where a quote or quotes are provided in response to a RFQ submitted by one or more other members or participants. The quote is executable exclusively by the requesting member or market participant. The requesting member or participant may conclude a transaction by accepting the quote or quotes provided to it on request.”
The Request for Quote control allows users to send and receive directed requests for quote for bonds, quote offers to quote requests, and accept quote offers. This control only supports manual requests for quote as of now.
Request for Quote Grid
You can open a new request for quote control under Trading → Request for Quote.
The control is split into two grids - the top grid for sent requests for quote, the bottom grid for received requests for quote.
Sent Quote Requests Grid
The sent quote requests grid displays sent quote requests. When a sent quote request received a quote, the quote will appear as a dropdown item under the quote request. From there it is possible to accept the quote and a trade will be executed.
Received Quote Requests Grid
The received quote requests grid displays received quote requests. When a user received a request for quote, it is possible to send a quote by selecting the quote request. The sent quote request will then appear as a dropdown item under the quote request.
Quote Entry
Directed Request for Quote
B/S: The side of the directed request for quote. Can be buy, sell or both. The respondent can respond with a quote with either buy or sell, regardless of the side chosen by the initiator.
Symbol: Symbol of the directed request for quote.
Price: Price of the directed request for quote. The respondent will not be able to see the price chosen by the initiator.
Min Quantity: The minimum quantity of the directed request for quote. The respondent will be able to see the minimum quantity sent by the initiator but can respond with a quote with any quantity.
Max Quantity: The maximum quantity of the directed request for quote. The respondent will not be able to see the maximum quantity sent by the initiator and is not limited by it.
Client Reference: Client reference for the directed request for quote. Can be any value and will only be visible to the initiator.
Lifetime (sec): The lifetime of the directed request for quote. Controls how much time respondents have to respond to the request for quote. Measured in seconds.
Counterparties: Firms the request for quote will be sent to. Respondents will not be able to see the firm of the initiator nor any counterparties specified in the request for quote.
Quote
B/S: The side of the directed request for quote. Can be buy or sell. Default value will be opposite to the quote request (default is buy if request for quote side is both).
Quantity: The quantity of the quote. Not limited by the minimum quantity of the request for quote.
Symbol: The symbol of the quote.
Price: Price of the quote. Not limited by the price of the request for quote and the respondent cannot see the price sent for the request for quote.
Client Reference: Client reference for the directed request for quote. Can be any value and will only be visible to the respondent.
Min Quantity: The minimum quantity of the request for quote. Does not limit the the possible values for quantity of the quote.
Accept Quote
B/S: The side of the quote response. Will always be opposite to the side of the quote.
Quantity: The quantity of the quote response. Upper bound is limited by the quantity of the quote.
Price: The price of the quote response. Will always be equal to the price of the quote.
Symbol: The symbol of the quote response.
Example: Sending Quote Requests
From the Sent Quote Requests view, the user creates a new Directed Quote Request by clicking the “New” button.
The Directed Quote Request appears in the Sent Quote Requests view.
The quote request received two quote offers, one with side buy, and another with side sell. These quotes appear under the dropdown for the quote request.
From there it’s possible to accept one or more quotes.
The resulting trade is executed and can be viewed in the trades control.
RFQ settings
To adjust the settings for RFQ you need to open up in the right hand corner: Tools →Settings →RFQ
Here it is possible to turn on “Notifications” and change the “Default Client Identification Code” and “Default Execution Decision within firm”
RFQ in Trade Ticker
It is possible to see RFQ in the Trade Ticker by opening Tools → Settings → Market Data .
A sent quote request will appear highlighted in grey in the trade ticker.