Request For Quote
Introduction
RFQ is supported in Classic and Advanced view modes.
RFQ is configured for each security individually.
Contact your admin to enable it in case disabled.
RFQ stands for Request for Quote. In the context of trading, RFQ orders refer to a type of order where a market participant, such as a trader or investor, requests a quote or pricing information from a liquidity provider or market maker before deciding to execute a trade.
When placing an RFQ order, the trader specifies the desired quantity of the financial instrument they want to trade and sends a request to one or more liquidity providers. The liquidity provider responds with a quote that includes the price at which they are willing to buy or sell the instrument and the corresponding quantity. Based on the received quotes, the trader can evaluate the prices and decide whether to proceed with the trade.
In the RFQ process, when a one-sided quote is requested, the system returns the offer price for a Buy side quote request and the bid price for a Sell side quote request. These prices are then displayed under the respective Buy or Sell button to send a previously quoted order.
Classic view mode:
You can see the RFQ button in the trading widget in case RFQ is enabled for the selected security. Order book is disabled in this case.
Advanced view mode:
In case RFQ is enabled for the selected security, you can find the RFQ button next to the Buy button.
To Send RFQ Order
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Click RFQ to invoke a Request for Quote form. Fill in the form and click Request Quote to get a quotation.
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Symbol: pre-populated automatically for the selected security.
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Currency: base currency is pre-populated automatically based on the selected security.
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Side: select Buy/Sell or Both sides for quotation.
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Quantity: enter security volume to be quoted.
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Destination: select an RFQ target destination from the available options.
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Counterparty: select a primary broker account you have access to.
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Date: settlement date. Refer to calculations examples.
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Tenor: settlement types (tenors).
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Instructions: you can pass instructions with your order.
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Once a quotation is received, you get a chance to make a trade within a pre-configured time slot displayed as a countdown timer. You can cancel and request another quotation at this point.
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Once you click Buy/Sell, you can review details before executing the order. At this step, you can Submit to finalize or Cancel to return to the previous step.
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Orders placed on RFQ have time-in-force Fill or Kill. It means, that they are executed/rejected immediately. You can check such orders in Closed Orders report if you filter it by Previously Quoted order type.
In case you have RFQ enabled, you can activate One Click Trading and place orders without the need to fill in the confirmation form.
Settlement Types (Tenors)
You can specify different settlement types for RFQ orders:
| Tenor | Description | Example |
|---|---|---|
| 0 | SPOT | SPOT settlement date |
| 1 | Today | Before the SPOT settlement date (SPOT settlement may be other than today)/Pre-SPOT |
| 2 | Tomorrow | Current timestamp + 1 trading day |
| D | Days | SPOT settlement date + N trading days/D2 = SPOT settlement date + 2 trading days (based on the business calendar) |
| W | Weeks | SPOT settlement date + N weeks/W2 = SPOT settlement date + 2 weeks * |
| M | Months | SPOT settlement date + N months/M2 = SPOT settlement date + 2 months * |
| Y | Years | SPOT settlement date + N years/Y2 = SPOT settlement date + 2 years * |
| B | Broken Date | A settlement date that is not a standard tenor. Refer to example. |
W, M, Y - we take a SPOT settlement date week, month, year and add the tenor value (e.g. M2 - we add two months to the SPOT settlement month). Settlement date moves to the nearest trading day according to the Business calendar if we hit a non-trading day.
Similar approach applies to W and Y tenors.
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SPOT settlement date is 11.11.2021
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Tenor is 1M
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Final settlement date is 13.12.2021 because 11.12.2021 falls on Saturday.
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SPOT settlement date is 11.11.2021
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Tenor is 2D
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Final settlement date is 15.11.2021 because 13.11.2021 falls on Saturday.