Trade bust after Post trade allocation

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Imported from previous forum

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Hi,

We have come across a situation where after successful completion of post trade allocation our FIX gateway received Trade bust for the same order.

I require help to understand how this case can be handled.

Thanks in advance
Sachin

3

Hi Sachin,

It just happens. This case can be handled in a number of ways. For example,
you can take risk and trade again. From the other side, you may try to cancel those trades which created position you have liquidated. In other words, it depends on the business and you have to decide what to do yourself.

In simple words, say, you sold 100 shares of AAPL you did not have to one of you client. Then you bought it from me. So you are flat. Later I said that I had incorrect prices and cancelled the trade between you and me. So you became short 100 AAPL again. What you will do? It’s up to you. Most probably you will try to buy it from me or someone else again.

That is how I see it :slight_smile:

Regards,
Vlad

Hi,

We have come across a situation where after successful completion of
post trade allocation our FIX gateway received Trade bust for the
same order.

I require help to understand how this case can be handled.

Thanks in advance Sachin