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Rival Systems rolls out new options algorithm design functionality

First Published 13th December 2017

New tool improves control, flexibility and efficiency for advanced options strategies

Chicago - Rival Systems has announced new options algorithm design functionality in its Rival Trader platform. The new functionality allows traders to design, test and execute options algorithms for futures and equity options with global market data and execution capabilities.

Rival Systems CEO Robert D'Arco said: "Rival Trader users can create advanced logic to dynamically work options orders or quotes in the market without having to write any code. Users can create their algos, run them against live market data to see how they would perform, and apply different algos to individual options, a range of options, or option spreads."

The options algorithm design feature enables traders to:

  • Create a pool of algorithms that can be selected to run across an unlimited number of options at the same time.
  • Develop conditional logic to dynamically work one- or two-sided orders and to set the price and size based on the greeks, underlying and options market data, as well as edge in the market.
  • Create unique logic for buying and selling within each algorithm.
  • Modify algorithms in real time.
  • Automatically apply algorithms when responding to requests for quote (RFQs) and auctions.
  • Create logic to automatically join the market if there is enough size, edge and scale size based on a percentage of the market size, a function of edge, or the risk of the option.
  • Limit quote and order revisions by comparing current vs. previous prices and quantities.
  • Create custom, user-defined variables that can be included across all algorithms and updated in real time via the Rival API. Users can update the variables to automatically affect multiple algorithms as desired.