Trading on Mercari eSEF
Mercari owns and operates its own proprietary technology allowing it the flexibility to quickly and efficiently bring new products to market, as well as the ability to adapt to a changing market.
Mercari eSEF is licensed to operate markets for energy, commodity and environmental derivatives, in addition to interest rate and foreign exchange derivatives.
Platform Features - Intra and Post Trade
Mercari eSEF is able to accommodate multiple market models, particularly hybrid models, through Mercari's proprietary matching algorithm – METAL (Mercari Enhanced Trading Amounts Logic).
METAL can be configured to incorporate knowledge of credit arrangements which can be used to pre-set to cleared, No Credit, Yes Credit or Check Credit. This information is utilised to display only tradable deals.
METAL optimises credit, price, time, quantity information to maximise trading outcomes.
Mercari operates orderly and efficient trade matching venues that can be tailored to meet diverse post-trade requirements. Whilst not dictating post trade arrangements, Mercari can offer a range of post-trade options for clients.
Through Mercari's sophisticated credit and post-trade dissemination engine, Mercari is able to facilitate multiple straight through processing and post-trade scenarios.
The Mercari eSEF platform can efficiently manage:
- Bilateral credit markets
- Cleared markets
- Multi-clearing house markets
- Hybrid bilateral, cleared and multi-clearing house markets
Mercari eSEF has some pre-existing distribution links for post-trade information to locations such as MarkitWire which can be activated upon demand to facilitate straight through processing.
Monitor market activity at a glance
Orders can be displayed transparently on each market screen whilst protecting the identity of individual traders. These are managed or traded with mouse-based controls. Clear visual codes enable easy monitoring of market prices.
- Your prices are shown in blue; a black underline indicates that someone has "joined your price".
- Prices managed by other dealers in your organisation are shown in green.
- Counterparty prices are shown in black.
- A red box indicates bad credit. Hovering over the price will reveal what the rest of the market sees.
- Calendar spreads are automatically calculated and displayed with a red underline to indicate they are switch dependant. The automatic calculation and display of derived prices from orders maximises liquidity, ensuring participants are given every opportunity to trade at their preferred levels, in their preferred amounts.
Streamline Order Placement
Pre-loaded default prices make order entry quick and simple. Control features for out of market levels, large amount warnings and inverse price boundaries all assist participants to ensure that the right order is entered first time.
Orders can be customised for your specific requirements, options include:
- Hidden best prices will display your order at the price you prefer, while automatically offering/bidding prices up to your final "best" price.
- Iceberg volumes allow orders to be displayed in the size you want visible while automatically offering/bidding further volume when hit.
- A user defined "Cancel at" time allows you to choose when your order will expire.
- The CP view feature allows you to switch from your customised screen view to see how your prices are displayed to others in the market.
Flexible Order Management
Current orders can be changed by left clicking. This brings up a menu which enables you to amend trade prices and volumes or cancel the trade altogether. The Mercari Direct private messaging service lets you chat directly with your broker or the Mercari support team at any stage during trading.
The negotiate feature allows dealers to show an improved price to selected counterparties who have an existing price in the same run providing an opportunity to enter into direct and anonymous negotiations without showing an interest to the entire market.