Market Making by WhizGrid

Market makers are critical providers of liquidity in markets, as they constantly place bid and

ask orders in the limit order book such that any market order will always be capable of

being filled. Our goal is to strategically place these bids and asks to capture the spread,

whilst earning a rebate for providing liquidity.

The algorithms enable capturing profit by turning over positions in an extremely short period.

Market Making Model

Our high-frequency proprietary market making model provides optimal quotes and a

dynamic order sized strategy to effectively control inventory risk and ensure profitability.

Pricing

We price and set an optimal spread and exploit the linearity of the spread curve and

our market data in order to adjust our spread to the best bid-ask spread dynamically.

Inventory

To complement the pricing model, we have developed a proprietary dynamic order sized

framework. If the inventory reaches the maximum permissible level, we are able to

keep trading and earning rebates by adjusting the order size based on a function corresponding

to our current position. This function is very effective at controlling inventory risk.