anonymous aggregated FOREX liquidity with matching capabilities

MPA

Most traders have heard the terms ECN, DMA, and STP, as they are thrown around the industry to such a degree they have almost lost their meaning. When it comes to liquidity, at least in the FX marketplace, the vast majority of it leads back to the same handful of large FX banks. This means that for the most part all brokers share the same liquidity pool. The difference comes from the technology behind the liquidity and it’s ability to improve on the total execution quality. MPA is that difference.

How is the MPA Structured?

MPA trading gives you direct access to the Forex market where you can trade with other traders and your orders are actually displayed in the market and are seen by others, who in turn can initiate their own orders and if the prices match, a deal is complete. One main difference between other STP models and an MPA is that appart from the ‘conventional’ Liquidity Providers found on most STP feeds, including our own SPA feed, or in other words Banks, the MPA is mainly comprised of non-bank liquidity as well as all the pending orders initiated by participants inside the MPA that are aggregated to increase the available liquidity pool.

How does MPA work?

Our Multiple Point Aggregation is something of a hybrid MTF (Multilateral Trading Facility) and ECN (Electronic Communications Network). In an MTF orders are matched between participants or members across a range of venues. In an ECN orders are matched between local participants trading on the ECN as well as routed to other providers however the makeup of the ECN allows these providers the ability to sit on a price and have the ‘last look’, meaning they can hold a trade and then after the price has moved they can choose to reject it.

The MPA model allows us to take advantage of the multilateral matching that is the core benefit of a MTF as well as the multiple aggregation that gives an ECN it’s advantageous trading environment. The MPA works by aggregating pricing feeds from multiple pre-aggregated providers such as ECNs, Prime of Prime Brokers, and Top Tier Banks, and incorporating a multi-venue matching engine to match orders across multiple destinations.

MPA Model Highlights

SPA or MPA

Our MPA model is made for strategies that require a higher level of anonymity due to their trading style, and a more unconventional stream of liquidity that is updated frequently to avoid being placed on 'aggressive' pricing feeds, while the SPA is tailored to clients looking for the most consistent pricing, tighter spreads, and higher tick values, as well as larger top of book availability. In other words, scalpers would be happier on our SPA feed and range and channel type strategies with larger trade sizes will most likely be more happy on our MPA feed.

If you are unsure what account is right for you feel free to contact one of our Premier Relationship Managers and ask, we are here to help.

*Accounts trading on leverage higher than 1:200 (0.50%) will have their stop out level moved from 50 to 100% automatically. If you wish to trade on a 50% Stop Out you must choose 1:200 (0.50%) or less when creating your account.

**Any dividend costs related to short trades taken on Equities will be billed post trade based on the rate applied by the executing liquidity provider. Please note that these charges can range up to several thousand USD per standard lot. If you are not sure of the possible costs please ask us BEFORE you open a position.