Staying Ahead of the Competition – Exness Interview

The retail trading landscape continues to evolve as the demands and preferences of clients shift in parallel. Finance Magnates spoke with Milica Nikolic, Pricing Support Engineer at Exness for her perspective on the company offering and success.

How does Exness distinguish itself in a competitive market?

Our clients demand stable and reliable pricing around the clock and it’s our role to deliver that. With hundreds of thousands of active traders trading with us around the world, every single tick that we put through for every single instrument needs to be an accurate reflection of the market at that specific moment. It’s actually quite a complex task.

We need to consider which price sources we’re using, we need to make sure we’re eliminating bad quotes, we need to combine it all together, monitor that everything is working okay, and of course, compare the final price with the market to make sure we’re achieving our goal.

As a liquidity provider, how can you secure good pricing for every single instrument?

A lot of the instruments we offer are traded over the counter which means that there is a huge number of different market places with potentially many different prices. Furthermore, not all liquidity providers have good pricing for every single instrument they are offering. We use quantitative analysis to carefully select which price sources we will use for each instrument. We review the price sources regularly and remove any bad price sources as well as add new good ones to the mix.

How is it possible to remove bad pricing?

Different liquidity providers can have different prices for the same instruments; this can even sometimes be due to mistakes. Our aggregators use scientific modeling to remove erroneous pricing in real-time, making sure that we always pass only the best prices to our clients.

We combine hundreds of top-quality price streams from the biggest marketplaces in real-time and put them into our aggregator. To stay ahead of the curve, we go far beyond simple aggregation and we use quantitative models when making our prices. We pay attention to special events such as low liquidity periods like holidays or rollovers when it’s common for spreads to widen and prices potentially to become unreliable.

We are also mindful of high volatility events such as the NFP for example where the markets can go wild, and it’s not uncommon for brokers to widen their spreads and sometimes even disable trading. Our scientific approach helps us to predict prices more accurately and we are able to pass this benefit on to our traders in the form of stable prices and lower spreads.

How do you maintain quality all day, every day?

With an ongoing 24/7 monitoring.We have alerts at every step of the price-making and execution process in order to make sure that we are always staying informed about what is going on. Our engineers are working around the clock to ensure that any potential issues that we identify are handled before they can affect our clients.

How does Exness handle price-quality checks?

We compare our prices to the market continuously to ensure that we are indeed delivering stable and competitive prices to our clients.

First off, naturally, you want to keep your spreads as tight as possible. Effectively, that means you have to update your quotes extremely fast. High throughputs of price updates go all the way through the infrastructure onto the client device and that can cause slowness and freezes all across the chain.

To what does Exness owe its success?

It’s simple. We understand our clients. We understand this is about trust. We understand that trust gets built over time and we will continue to invest and innovate to bring the leading edge marketplace to traders, every single day.