Execution Slippage: Is It Random or Is It Directional?
Here is a question that every dealing desk should ask—and almost none do: Across the last 1,000 trades on your platform, how many times did slippage favor the client versus how many times did it favor the house? The Balanced Coin: If the answer is roughly 500/500, your execution is fair. Slippage is a product […]
News Trading Risk: How to Protect Your Book During NFP
It is 1:29 PM London time on the first Friday of the month. Non-Farm Payrolls (NFP) drops in sixty seconds. Your dealing desk knows what is coming. Spreads will widen. Volatility will spike. The price will move 30, 50, maybe 100 pips in the first seconds after the release. This is not a surprise. It […]
We Don’t Just Report The History. We Provide The Prophecy.
The Burden of the Invisible We did not set out to build a risk tool. We set out to build a solution for that specific, isolated silence we’ve all felt, the one that falls over the desk when the PNL starts to drain, and the standard explanations just don’t fit. I have spent over half […]
The Physics of Execution: Why Risk is Mathematical, Not Financial
Imagine you are a traffic cop. A red Ferrari zooms past you at 200 mph. A beat-up van drives past you at 30 mph.
If you only look at their destination (Profit & Loss), they both arrive at the same city. The Ferrari driver got there faster; the van driver took longer. Financially, they are the same: they both “arrived.”