Mixed Capacity

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Imported from previous forum

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Does anyone have any guidelines or references related to handling Mixed Capacity and any downstream effects for reporting?

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I googled “Mixed Capacity” as it looked like a standard term in your question but could not find anything suitable. Can you describe the business process(es)?

Does anyone have any guidelines or references related to handling Mixed
Capacity and any downstream effects for reporting?

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[ original email was from Harish Kamaley - harish.kamaley@wipro.com ]

Mixed Capacity means a broker handles the order but in different capacities (e.g. as agent, riskless principal and/or principal) combines these orders and represent them in a single quote in the market

I googled “Mixed Capacity” as it looked like a standard term in your
question but could not find anything suitable. Can you describe the
business process(es)?

Does anyone have any guidelines or references related to handling
Mixed Capacity and any downstream effects for reporting?

5

I am only aware of the FIX Confirmation message with which you can confirm a trade and assign multiple order capacities (each with a different quantity). Have a look at with fields 528 and 863. I am not familiar with your regulatory requirements in terms of keeping capacities separated and stating the capacity in which you have traded an order. If you have an order/quote with mixed capacities, who gets allocated first in case of an execution and how much? There is many ways to do this and it is not easy to make transparent.

I would say that your quote cannot carry an OrderCapacity and that you need to split up trades afterwards as described above.

Mixed Capacity means a broker handles the order but in different
capacities (e.g. as agent, riskless principal and/or principal) combines
these orders and represent them in a single quote in the market

I googled “Mixed Capacity” as it looked like a standard term in your
question but could not find anything suitable. Can you describe the
business process(es)?

Does anyone have any guidelines or references related to handling
Mixed Capacity and any downstream effects for reporting?