Interdealer Trading
The market structure within the FM platform is based on distinct roles for customers. Liquidity takers, who are the customers, do not trade directly with each other. Instead, they only trade with liquidity providers or master accounts. On the other hand, liquidity providers and master accounts can trade with both liquidity takers and each other. When liquidity providers trade with each other or with Masters who act as liquidity providers, these trades are categorized as interdealer trades.
Interdealer trades refer to trades made between users who act as liquidity providers on the Finery Markets platform. In simpler terms, these trades occur between two liquidity providers, where one user acts as the liquidity taker (who would otherwise be a liquidity provider) and the other user acts as a liquidity provider through either a maker/sub-maker account or a master account, as specified in Table 1 "Types of Trading". FM encourages liquidity providers to trade with each other and master accounts by offering economic incentives (refer to the Tariff Policy for more details).
Examples of all trades on the FM platform are in the table below. You may need them to determine the type of trade (interdealer or non-interdealer), and applied markups.
Table 1. "Types of trading".
| Scenario № | Maker | Taker | Inter-dealer trade | Mark-ups (see scheme below) |
|---|---|---|---|---|
| Master A |
| ||
1 | Master A | Sub-taker of Master A |
| 1 |
2 | Master A | Taker B |
| 4 |
3 | Master A | Own sub-taker of Master E if Master E also acts as a Maker | Yes | 3, 9 |
3.1 | Master A | Other sub-takers of Master E |
| 3, 1E |
4 | Master A | Sub-taker of Master B if Master B doesn’t act as a Maker
|
| 6, 1B |
5 | Master A | Taker account of Maker D | Yes | 5 |
| Sub-maker of Master A |
| ||
7 | Sub-maker of Master A | Sub-taker A |
| 2, 1 |
8 | Sub-maker of Master A | Taker B |
| 2, 4 |
9 | Sub-maker of Master A | Own sub-taker of Master E, if Master E also acts as a Maker
| Yes | 2, 3, 9 |
9.1 | Sub-maker of Master A | Other sub-takers Master E, if Master E also acts as a Maker
|
| 2, 3, 1E |
10 | Sub-maker of Master A | Own sub-taker of Master B if Master B doesn’t act as a Maker |
| 2, 6, 9B |
10.1 | Sub-maker of Master A | Other sub-takers of Master B if Master B doesn’t act as a Maker |
| 2, 6, 1B |
11 | Sub-maker of Master A | Taker account of Maker D | Yes | 2, 5 |
| Maker C |
|
|
|
12 | Maker C | Taker B |
| 7 |
13 | Maker C | Own sub-taker of Master A if Master A also acts as a Maker | Yes | 8, 1 |
13.1 | Maker C | Other sub-takers of Master A, if Master A also acts as a Maker |
| 8, 1 |
14 | Maker C | Own sub-taker of Master B, if Master B doesn’t act as a Maker |
| 10, 9B |
14.1 | Maker C | Other sub-takers of Master B if Master B doesn’t act as a Maker |
| 10, 1B |
15 | Maker C | Taker account of Maker D | Yes | 9 |
Scheme 1. The list of available markups
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