MMI Trading Sub committee

Current Trading Processes

Date: 4/1/08
Contents
• Targeting the 6 following scenarios
– Directed Trades
– Trade away from Sponsor
– TAMP Directed Trades – Identical to sponsor directed trades )
– TAMP Directed Trades to the end originating firm
– TAMP Trades away from TAMP – ( Identical to #2 )
– TAMP Trade away, settle to the end originating firm
• Supporting
– Mutual funds and US equity stocks only
• Process Describing
– Send the order
– Settlement information
– Receive execution info
– Pre Allocated order
 Trading Relationships

1- Order Sent
1- Directed Trades a. Faxes
b. Phones
c. Email
d. Prop API
e. Vendor Systems
Trade originator f. FIX
-Asset Manager
-Overlay Manager 2- Execution information Sponsor
-REP as Mgr 3- Allocation (same as 1a- f) Executes and settles
-Etc.
 Trading Relationships
1a- Directed Trades – Pre Allocated order

1- Order Sent with allocation included

a. Faxes
b. Phones
c. Email
d. Prop API
e. Vendor Systems
Trade originator f. FIX
-Asset Manager
-Overlay Manager 2- Execution information Sponsor
-REP as Mgr Executes and settles
-Etc.
 2- Trade away from Sponsor

Trade originator FIX Alloc w/ streetside info Sponsor

-Asset Manager
-Overlay Manager Allocation acknowledgment
-REP as Mgr
-Etc.

s
1- FIX Order 2- Execution ro ces
mp
Sent information via FIX
Co nfir
ir m/
X Aff
FI

Execution B/D
 3-Tamp Directed Trades – Identical to Standard sponsor directed trades

Trade originator 1- FIX Order Sent

-Asset Manager
-Overlay Manager 2- Execution information TAMP
-REP as Mgr Executes and settles
3- Allocation
-Etc.

4-TAMP Directed Trades to the end originating firm -

1- Order Sent with Firm Id( RIA1) RIA 1

Trade originator
-Asset Manager
2- Execution information TAMP
-Overlay Manager
(acts as a gateway/router)
-REP as Mgr 3- Allocation With Firm ID
-Etc.
RIA 2
 5-TAMP Trades away from TAMP –

Trade originator 3.1a Allocation file /w street side info TAMP

-Asset Manager
-Overlay Manager Allocation acknowledgement
-REP as Mgr
-Etc.

nf irm
1- Order Sent 2- Execution
m / co
information a ffir
FI X

Execution B/D
 6-TAMP Trade away, settle to the end originating firm -
RIA 1

Trade originator 3.1a FIX Alloc file /w streetside info also includes firm ID TAMP
-Asset Manager (acts as a gateway/router)
-Overlay Manager
-REP as Mgr
-Etc.

c ess
1- Order Sent 2- Execution pro
information o n firm
m /c
a ffir
FI X

Execution B/D