Order Types
Order Types are instructions given to trading platforms to buy or sell assets under specified conditions. Each Order Type has unique characteristics tailored to different trading strategies and goals. Hex Safe supports 5 different types of orders.
Limit Order
A Limit order is to buy or sell at a specified price. It executes by sweeping the available liquidity up to the limit price by routing to the markets offering the best prices. The remaining quantity will be rested on the market.
Market Order
A Market order is to buy or sell at the market bid or offer price. It may increase the likelihood of a fill and the speed of execution, but unlike the Limit order, it provides no price protection and may fill at a price far lower/higher than the current displayed bid/ask.
Steady Pace Order
A Steady Pace order is an interval-based execution algorithm that breaks an order and executes it according to user-defined clip sizes and intervals. It is a “taker-only” algorithm that routes each clip to the markets with the best available price at each interval. If there are errors or partial fills on a clip, the strategy will resend child orders to ensure the entire clip size is filled within the current interval. Variance can be set to randomize each clip size.
NOTE: If a Steady Pace order becomes non-marketable for a period of time, it will not become more aggressive for the remainder of the order to fill up to the limit price. This means that for a 1-hour order that was not marketable for 50% of the time, only ~50% of the total order size would be filled by the end of the order.
Stop Limit Order
A Stop-Limit order is an instruction to submit a buy or sell limit order when the user-specified stop trigger price is reached. The order has two basic components: the stop price and the limit price. When a trade occurs at or through the stop price, the order becomes executable and enters the market as a limit order, which is an order to buy or sell at a specified price. A Stop-Limit eliminates the price risk associated with a stop order where the execution price cannot be guaranteed, but it exposes the investor to the risk that the order may never fill even if the stop price is reached.
RFQ (Request for Quote) Order
An RFQ order is a request to quote Buy, Sell, or 2-Way from liquidity providers when the user specifies the quantity to trade. Clicking either the large “Buy” or “Sell” square will always trade at the best available price.