Brokerage Integration
Automating options trading and reporting for funds
An experienced options trader with a proprietary trading strategy, operated his trading activities from a dedicated Linux server. He required an integrated solution that not only executed trades automatically but also managed performance reporting and investor communications efficiently.
The project's goal was to develop a comprehensive trading and reporting integration for the brokerage account that could automate his entire trading operation. This included order execution, performance tracking, and automated communication with his fund’s investors. The integration needed to be reliable, secure, and capable of operating within the Linux environment.
Team
Software Developer, Database Administrator, Financial Analyst
Python for scripting and automation.
MySQL for database management.
Google API for email automation.
Integration with brokerage API. Ensuring seamless and secure integration with the brokerage’s API to execute trades based on strategies.
Data management. Establishing a robust system using MySQL to handle order and performance data efficiently.
Automated reporting. Developing a reliable system for calculating performance metrics and automating the generation and distribution of performance reports to investors.
Brokerage API automation. Used Python API wrappers tailored to John’s brokerage firm to facilitate real-time trade execution directly from his Linux server.
MySQL database setup. Configured a MySQL database to store detailed records of all trades and transactions, providing a foundation for performance tracking.
Performance calculation. Implemented Python scripts to calculate performance and benchmark metrics, leveraging financial libraries to ensure accuracy and relevance
Email automation. Integrated Google API to automate the monthly submission of performance reports via email to John’s fund investors, ensuring timely and consistent communication.
Results
Streamlined trade execution. Achieved high-speed, accurate order execution that aligned perfectly with trading strategies.
Enhanced reporting. Automated performance reports provided comprehensive, accurate reflections of trading outcomes and benchmarks, enhancing transparency with investors.
Improved investor relations. Regular, automated communications via email improved investor satisfaction and confidence in the fund's management.
Lessons
The project highlighted the critical role of robust database systems in financial applications for ensuring data integrity and supporting complex queries.
Learned the significance of adaptable integration strategies to accommodate specific brokerage features and trading requirements.
Demonstrated the effectiveness of automating routine communications and reports in maintaining stakeholder engagement and operational efficiency.