Trade Life Cycle Harmandeep Singh 13/09/2013 non-Technical. Every trade has its own life cycle. The entire Life Cycle of a trade can be broken down into pre-trade and post-trade events. The various trade events can be categorized into Front Office, Middle Office and Back Office activities which are explained below: – Trade, whether it is exchanging goods and services, or if it is done as a medium to exchange financial instruments- the purpose is the same, the implication on it is same - to create something of value. Stages involved in the trade life cycle are: Sale. Trade Initiation and Execution.

Trade life cycle explained Trade life cycle in hindi Trade life cycle of otc derivatives Trade life cycle in investment banking. Category Education; Show more Show less. To explain it further, a trade is the conversion of an order placed on the exchange which results in pay-in and pay-out of funds and securities. The trade ends with the settlement of the order placed. All the steps involved in a trade, from the point of order receipt – Counter party / street side / contra. • Trade can’t be processed until it is matched with street side report • Reports are submitted electronically • For eg: NYSE Floor trades are submitted to OCS within 20/30 minutes. Trade life-cycle are the different stages , by which a trade flows through. These are detail steps, from the point of order, receipt, execution and settlement of trades in a systematic manner. Most investors have no idea about the life cycle of a trade. This is because they rarely have occasion to work with the middle or back office. The middle and back office are support functions for the front, or sales, office. The back office works on trade settlement and the middle office is concerned with confirmations. Trade Life Cycle Harmandeep Singh 13/09/2013 non-Technical. Every trade has its own life cycle. The entire Life Cycle of a trade can be broken down into pre-trade and post-trade events. The various trade events can be categorized into Front Office, Middle Office and Back Office activities which are explained below: –

Trade is a process of buying and selling any financial instrument. Just like any other product even trade has its life cycle involving several steps, as those with a career in Capital Markets know.

To explain it further, a trade is the conversion of an order placed on the exchange which results in pay-in and pay-out of funds and securities. The trade ends with the settlement of the order placed. All the steps involved in a trade, from the point of order receipt – Counter party / street side / contra. • Trade can’t be processed until it is matched with street side report • Reports are submitted electronically • For eg: NYSE Floor trades are submitted to OCS within 20/30 minutes. Trade life-cycle are the different stages , by which a trade flows through. These are detail steps, from the point of order, receipt, execution and settlement of trades in a systematic manner. Most investors have no idea about the life cycle of a trade. This is because they rarely have occasion to work with the middle or back office. The middle and back office are support functions for the front, or sales, office. The back office works on trade settlement and the middle office is concerned with confirmations. Trade Life Cycle Harmandeep Singh 13/09/2013 non-Technical. Every trade has its own life cycle. The entire Life Cycle of a trade can be broken down into pre-trade and post-trade events. The various trade events can be categorized into Front Office, Middle Office and Back Office activities which are explained below: – Trade, whether it is exchanging goods and services, or if it is done as a medium to exchange financial instruments- the purpose is the same, the implication on it is same - to create something of value. Stages involved in the trade life cycle are: Sale. Trade Initiation and Execution.

Trade Life Cycle Explained Video 5 - Duration: 10:42. Capital Markets Easy 82,281 views

Trade, whether it is exchanging goods and services, or if it is done as a medium to exchange financial instruments- the purpose is the same, the implication on it is same - to create something of value. Stages involved in the trade life cycle are: Sale. Trade Initiation and Execution. Trade Life-Cycle Trade life-cycle are the different stages by which a trade flows through. It is regarded as a series of logical steps which are represented in such a manner where the trade is allowed to go through keeping track of it's related objective and importance. 4. Front Office Trade gets initiated at FO. The trade life cycle: Timeline: Image source: Trade Life Cycle - The Process of Buying & Selling Even before the trade begins, an IB makes a sale (client acquisition, onboarding) And when a client places an order, the trade life cycle begins. Trade life-cycle are the different stages , by which a trade flows through. These are detail steps, from the point of order, receipt, execution and settlement of trades in a systematic manner. In other words, it is regarded as a series of logical steps which are represented in such a manner where the trade is allowed to go through keeping track of it's related objective and importance. It of course goes through some pre trade checks in which trade eligibility is checked. Now trade is in the hands of middle office where risk is managed for the trade. Also some trade enrichment is done. Some regulatory stuff is also feeeded to regulators for each eligible trade.

Trade, whether it is exchanging goods and services, or if it is done as a medium to exchange financial instruments- the purpose is the same, the implication on it is same - to create something of value. Stages involved in the trade life cycle are: Sale. Trade Initiation and Execution.

To explain it further, a trade is the conversion of an order placed on the exchange which results in pay-in and pay-out of funds and securities. The trade ends with the settlement of the order placed. All the steps involved in a trade, from the point of order receipt

Trade, whether it is exchanging goods and services, or if it is done as a medium to exchange financial instruments- the purpose is the same, the implication on it is same - to create something of value. Stages involved in the trade life cycle are: Sale. Trade Initiation and Execution.

It of course goes through some pre trade checks in which trade eligibility is checked. Now trade is in the hands of middle office where risk is managed for the trade. Also some trade enrichment is done. Some regulatory stuff is also feeeded to regulators for each eligible trade.

The trade life cycle begins when the investor informs the firm that they wish to either buy or sell a particular instrument or product. The investor will include information on the product and the bid/ask price in this order. To understand trade life cycle we need to understand detailed steps involved in trade life cycle. Below mentioned are the important steps: 1. Order initiation and delivery. (Front office function) 2. Risk management and order routing.(middle office function) 3. Order matching and conversion into trade.(front office function) 4. Trade is a process of buying and selling any financial instrument. Just like any other product even trade has its life cycle involving several steps, as those with a career in Capital Markets know. – Counter party / street side / contra. • Trade can’t be processed until it is matched with street side report • Reports are submitted electronically • For eg: NYSE Floor trades are submitted to OCS within 20/30 minutes.