FX options technology provider VolatilityFX says it is offering free FX options analytics to independent traders. The service will offer implied volatility surfaces, expected value surfaces and strike matrices, the firm says.
The service overlays a subscription-based service that offers a full options pricer, 3D risk matrices and what the firm calls a systematic trade picker that uses machine learning and optimisation technology based upon a given user’s desired risk limits.
“VolatilityFX has the potential to eliminate the FX Options strategy and infrastructure gap between small shops and large banks at a price that is affordable and accessible to independent traders.” says Barry Weinstein, founder and CEO of the firm.
Elena Kozhemyakina, founder at advisory firm Fintech4Funds, adds, “Successful options trading requires both a knowledgeable trader, and sophisticated systems. Institutions typically build these systems in house for inflated costs and with lengthy delays. Poor systems often times hinder the trading performance of otherwise talented traders. For small shops and independent traders, hiring teams of quants and developers is out of budget. This means quality systems are concentrated with the big banks while smaller firms operate at a disadvantage.
“The ability to host for the OTC FX market risk management itself is pretty unique,” she adds. “Because from the vendors that I personally work with, the state of systems at the moment are commonly legacy.”