FRONT ARENA for

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FRONT ARENA for

• Equity Trading Presentation
• August 2007

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Equity Trading
Explorer
Blue Chip Stocks
Session manager
Warrant Quotes
Risk
Top prio warrants
Trade tickers
Orders
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Equities

• Integrated Sales, Trading and Risk Management
  System
• Order Routing
• Retail Sales
• Internet Trading
• Institutional Sales
• Multi-Exchange Trading
• Market Making
• Basket Trading
• Automated Trading
• Spread Trading
• OTCs Exotics
• Structured Products
• Position Keeping
• Risk Management

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Equities
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Exchange Trading and integrations at a glance
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Supported Price Feed Providers - APH

• SSL4 (Reuters Triarch SSL4)
• Open Trade
• TTRS 3.6.1 (Bridge/Telerate)
• SSP 2.6.2 (Micronosis)
• Inv (Invision)
• TIB (TIBCO)

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Distribution
External
Markets
Internal
Market
Local Area Network (LAN) access
Wide Area Network (WAN) access
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Business Solution Equity Trading

• Proprietary Trading Market Making
• Proprietary Trading
• Market Making Exchange Trading
• Market Making Warrants
• Market Making - Cash
• Pricing Risk Management
• Pricing OTC Trading
• Cross Asset Class Position keeping and Risk
  Management
• Position Data Management
• Hedge Funds functionality
• Instrument Coverage

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Business Solution Equity Trading

• Structured Equity Products
• Quanto
• Average (fix or floating strike arithmetic or
  geometric average)
• Barrier and Ladder
• Basket (including multi currency baskets)
• Cliquet
• Forward start / Forward Start Performance
• Linear combinations, including Reverse
  Convertibles
• Rainbow
• NCM Business (Non Clearing Member)
• NCM Risk Management
• NCM Online Position Keeping Risk
• Direct Market Access (DMA) for non members

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Functional Overview
Equities
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Functional Overview

• Multi-market trading
• Stock trading
• Option relative value trading
• Market-making
• Combination Trading
• Basket Index trading
• Strategy and spread trading
• Automated Trading
• Automatic order entry
• Automatic quoting
• OTC and Exotics
• Structured Products

• Pricing and Valuation
• Real-time analysis and simulations
• Volatitiliy, dividends and rate curves
• Position keeping and PL
• Risk Management
• Trading Desk risk management
• Independent risk controlling
• Risk limit management
• External and internal reporting
• Administration
• Party and account definitions
• Trade administration
• Business Data Processing

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Option Trading and Pricing
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Basket Trading
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Basket Portfolio
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Automated Trading

• Quote and Hedge
• Basket spreads
• Price Spreads
• Total Price
• Conditional Order
• Crouching Tiger
• Lock in
• Stop loss
• Portfolio Hedge
• Limit
• Limit Monitor
• Market Making limits

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Quoting Functionality

• Advanced Market Making
• Continuous Quoting for Liquidity providers
• Quote request answering
• Silent Market Monitoring Crouching Tiger

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Quoting Functionality
Security Parameters "Max Direct Hits" "Max
Underlying Move" "Max Underlying Spread" "Max
Update delay" in seconds "Max Delta" in
portfolio Max Value traded

• Price Reasonability Checks
• Price / Underlying slacks
• Priority of updates
• Spread Bias
• Single Sided Quotes
• Error Handling

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Volatility management
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Risk Management Position Keeping

• Free Grouping options- Cross asset class

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Desk Risk Management and Reports
Report Styles- on screen- xml- html- excel-
text
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Limit Handling

• A real-time limit monitoring system
• Easily adapted to perform different actions, such
  as sending mail, play sound etc.

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AEF Extension Techniques

• Extension Techniques
• ADM - ( ARENA Data Model) Extend the data model
  with new persistent fields using Additional
  Info.
• ASQL (ARENA SQL) Use SQL syntax to explore the
  data and analytics in real-time.Create
  tailor-made reports and applications.
• Python AEL (ARENA Extension Library) Write and
  deploy your own application logic. Override
  built-in functionality using Python
  hooksAutomate administrative tasks
• ACM - ( ARENA Class Model ) FRONT ARENA published
  business classes and methods.
• Python ACM Python programming with access to
  ACM and ACM Extensions
• ADFL - ( ARENA Data Flow Language ) Tree-based
  language used to define calculations and control
  mechanism. Front proprietary language.
• ACM Extensions using ADFL Extensions to ACM
  done with ADFL. PRIME loadable ADFL modules
• To be complemented with AMAS and FMS extension
  technologies

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