The Swaptions market is made up of hundreds of instruments that do not trade continuously. So that, to a large extent, mid prices are modeled in a sophisticated interpolation/extrapolation scheme, with many degrees of freedom.
So if participants can only trade at mid price, can we really say they trade at market price?
And if there is no price formation mechanism, can we even call it a market?
With Akurates, participants can use mids as default price and are free to enter their own price, contributing to form a market price with a counterpart.
During sessions, Akurates provides a heat map that reflects market activity.
This heat map preserves information at best. Order prices are not shown to unconcerned participant, preventing adverse selection. A strategy is not shown per se either; only its constituents will be. When any information becomes relevant to increase matching chances, i.e. when order features are near enough, concerned participants get informed. Say you buy a 10y10y P+200. If anybody sells something like a 10y10y P+300 or 9y10y P+200 for instance, Akurates will tell you.
If you selected several instrument in a specific order, Akurates will take into account your preference: If many solutions are possible, Akurates will choose the best one, according to price and instrument rank specified in your list.
So that a trader can place his order in its totality with full confidence.
Akurates will act as a perfect voice broker, knowing everybody’s exact situation but never telling too much.
Akurates’ input zone allows you to create your orders in details: legs, instruments, prices, sizes, etc. When your order is fully specified, you may load it to your blotter and then make it firm it as separate steps. This process increases your safety.
In the meantime, the heat map displays all your orders in a synthetic colored view as another sanity check.
Regarding pricing, you can also trust Akurates. We are constantly in touch with traders through our brokers to follow market prices and update our model. And when paradigm changes, Akurates evolves.