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Trading Technology

Automated Market Making System

ClientLiquidity Provider
IndustryCapital Markets
Duration5 months
Team4 engineers
0.5ms
Quote Latency
Ultra-low latency quote updates
₹8Cr
Monthly Revenue
Spread capture from market making
99.9%
Uptime
System availability during market hours

The Challenge

A proprietary trading firm wanted to expand into market making but lacked infrastructure for continuous quoting, inventory management, and real-time risk controls. Manual quoting was too slow for competitive spreads.

Our Solution

Built an automated market making system with dynamic spread calculation, inventory-aware quoting, real-time position limits, and smart hedging algorithms.

Our Approach

1

Designed low-latency quoting engine with sub-millisecond updates

2

Built inventory management with Avellaneda-Stoikov framework

3

Implemented dynamic spread calculation based on volatility and inventory

4

Created real-time risk limits with automatic position flattening

5

Developed P&L attribution by spread capture vs. inventory cost

Technology Stack

C++PythonRedisInfluxDBGrafanaFIX Protocol

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