Amendment of Trades

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1

Imported from previous forum

2

Hello there,

Is there any message available for Amendment of Trades?

Best Regards,
Jayashree

3

Trade Capture Report aka TCR (MsgType AE) is intended for this. TradeReportTransType (487) can be used with value 2=Replace to modify existing trades. It assumes that you have previously received a TCR with a TradeReportID (571) that you can then reference in your amendment with TradeReportRefID (572). This is the message based model of trade amendments.

Alternatively, you have the entity based model where the entity identifier TradeID (1003) OrigTradeID (1126) are being used.

Please check out FIX Spec Volume 5, especially Appendix A - Trade Amendment and Trade Cancel Work Flow Diagrams for details.

It can get quite complex depending on the level flexibility you want to provide to the person amending trades. You should invest some time to understand the different models and possible workflows.

Regards,
Hanno.

Hello there,

Is there any message available for Amendment of Trades?

Best Regards,
Jayashree

4

Thanks Hanno.

Can we do the amendment using the “ExecutionReport” message at all?

What are the main differences between TradeCaptureReport and ExecutionReport messages?

Best Regards,
Jayashree

Trade Capture Report aka TCR (MsgType AE) is intended for this. TradeReportTransType (487) can be used with value 2=Replace to modify existing trades. It assumes that you have previously received a TCR with a TradeReportID (571) that you can then reference in your amendment with TradeReportRefID (572). This is the message based model of trade amendments.

Alternatively, you have the entity based model where the entity identifier TradeID (1003) OrigTradeID (1126) are being used.

Please check out FIX Spec Volume 5, especially Appendix A - Trade Amendment and Trade Cancel Work Flow Diagrams for details.

It can get quite complex depending on the level flexibility you want to provide to the person amending trades. You should invest some time to understand the different models and possible workflows.

Regards,
Hanno.

Hello there,

Is there any message available for Amendment of Trades?

Best Regards,
Jayashree

5

The marketplace can use ExecutionReport (ER) to correct or cancel trades (150 ExecType G or H). If that is all you need, then an ER is simpler than a TCR. If you want the order submitter to be able to amend executions/trades he has received then messages like a TCR or an AllocationInstruction are needed.

The ER primarily conveys executions of orders and quotes whereas the TCR conveys executions that have been enriched with clearing and settlement information. ERs have limited means to disclose information about the othe side, e.g. counterparty information. The structure of a TCR allows to send multiple sides of a trade within a single message.

The TCR can also be used for trade reporting from one or multiple parties into a marketplace or clearing institution.

FIX Spec Volume 4 covers ERs and Volume 5 TCRs.

Thanks Hanno.

Can we do the amendment using the “ExecutionReport” message at all?

What are the main differences between TradeCaptureReport and ExecutionReport messages?

Best Regards,
Jayashree

Trade Capture Report aka TCR (MsgType AE) is intended for this. TradeReportTransType (487) can be used with value 2=Replace to modify existing trades. It assumes that you have previously received a TCR with a TradeReportID (571) that you can then reference in your amendment with TradeReportRefID (572). This is the message based model of trade amendments.

Alternatively, you have the entity based model where the entity identifier TradeID (1003) OrigTradeID (1126) are being used.

Please check out FIX Spec Volume 5, especially Appendix A - Trade Amendment and Trade Cancel Work Flow Diagrams for details.

It can get quite complex depending on the level flexibility you want to provide to the person amending trades. You should invest some time to understand the different models and possible workflows.

Regards,
Hanno.

Hello there,

Is there any message available for Amendment of Trades?

Best Regards,
Jayashree

6

Hi,
Thanks for the response.

Is it fair to say that :
An ExecutionReport is more suitable when the Trade is executed but not yet Settled.
An TradeCaptureReport is more suitable to use after the Trade is Settled.

Best Regards,
Jayashree

The marketplace can use ExecutionReport (ER) to correct or cancel trades (150 ExecType G or H). If that is all you need, then an ER is simpler than a TCR. If you want the order submitter to be able to amend executions/trades he has received then messages like a TCR or an AllocationInstruction are needed.

The ER primarily conveys executions of orders and quotes whereas the TCR conveys executions that have been enriched with clearing and settlement information. ERs have limited means to disclose information about the othe side, e.g. counterparty information. The structure of a TCR allows to send multiple sides of a trade within a single message.

The TCR can also be used for trade reporting from one or multiple parties into a marketplace or clearing institution.

FIX Spec Volume 4 covers ERs and Volume 5 TCRs.

Thanks Hanno.

Can we do the amendment using the “ExecutionReport” message at all?

What are the main differences between TradeCaptureReport and ExecutionReport messages?

Best Regards,
Jayashree

Trade Capture Report aka TCR (MsgType AE) is intended for this. TradeReportTransType (487) can be used with value 2=Replace to modify existing trades. It assumes that you have previously received a TCR with a TradeReportID (571) that you can then reference in your amendment with TradeReportRefID (572). This is the message based model of trade amendments.

Alternatively, you have the entity based model where the entity identifier TradeID (1003) OrigTradeID (1126) are being used.

Please check out FIX Spec Volume 5, especially Appendix A - Trade Amendment and Trade Cancel Work Flow Diagrams for details.

It can get quite complex depending on the level flexibility you want to provide to the person amending trades. You should invest some time to understand the different models and possible workflows.

Regards,
Hanno.

Hello there,

Is there any message available for Amendment of Trades?

Best Regards,
Jayashree

7

I think this is too limited. Settlement is at the very end of the chain and there might be multiple organizations involved (exchange, clearing house, settlement organization), all of which could offer some form of trade management by means of a TCR.

It is more about the content of the message. ER primarily has data related to trading whereas the TCR adds clearing and settlement information, e.g. fees, clearing accounts.

ER and TCR do not have the same content and are simply used at different points of the process chain.

Hi,
Thanks for the response.

Is it fair to say that :
An ExecutionReport is more suitable when the Trade is executed but not yet Settled.
An TradeCaptureReport is more suitable to use after the Trade is Settled.

Best Regards,
Jayashree