INTERMEDIATE // TRADING DESK
MODULE 01 // FUNDAMENTALS

Trading Floor Architecture.

Financial trading environments have unique requirements: microsecond latency, regulatory compliance, and extreme reliability.

TRADING SYSTEM REQUIREMENTS

Trading systems operate under extreme constraints: latency measured in microseconds, uptime requirements of 99.999%, and regulatory oversight that demands complete audit trails. ABIS integration must respect these constraints.

The trading technology stack typically includes: order management systems (OMS), execution management systems (EMS), market data feeds, risk engines, and compliance systems. ABIS integrates as a behavioral analysis layer that enhances existing risk controls.

Key architectural decisions: where in the order flow to insert ABIS checks, synchronous vs asynchronous analysis, and how to handle ABIS unavailability without disrupting trading operations.

ORDER MANAGEMENT

Central system managing order lifecycle. ABIS integrates here for pre-trade behavioral analysis.

PRE-TRADE

EXECUTION MANAGEMENT

Smart order routing and execution. ABIS monitors execution patterns for manipulation.

EXECUTION

RISK ENGINE

Real-time position and P&L monitoring. ABIS adds behavioral risk dimension.

REAL-TIME

COMPLIANCE

Regulatory reporting and surveillance. ABIS provides behavioral evidence for investigations.

POST-TRADE
KNOWLEDGE CHECK // Q01
Why is asynchronous ABIS analysis often preferred in trading environments?