MetaTrader Bridges

MetaTrader 4 (Mt4) Bridges

Mt4 Bridges are connections between broker trading platforms and banks that allow the broker to unload all the risk to the bank while keeping a large share of the commission and the spreads.  Our bridges allow a broker to submit trade requests directly to the bank of its choice rather than putting the trade against the broker’s own funds. 

How do Mt4 Bridges work?

Status Quo

To understand the bridge, one must first understand the current trading process.  MetaTrader 4 is an online trading platform designed for financial institutions dealing with Forex, CFD, and Futures markets.  The platform includes all necessary components for brokerage services via internet including the back office and dealing desk.  Currently over 300 brokerage companies and banks worldwide have chosen the MetaTrader solution to meet and accommodate high standard of business performance.

 

Brokers that utilize MetaTrader 4 for their trades probably follow the flow that is illustrated to the right.  A client uses a client terminal to place a trade.  The Mt4 server routes the trade to the proper dealer who is using the Mt4 manager software.  The dealer then has the option to accept, reject, requote, or delay the trade, and the answer is sent through the server back to the client. 

Adding an Element

Sometimes a client creates a trade that is too risky, too large, or not acceptable to the broker.  An Mt4 Bridge by Boston Technologies can help a broker avoid the trades that he or she does not feel comfortable accepting or rejecting.  Here’s how it works (follow the illustration below):

• The client makes a trade.  (Inherent in the trade is a commission charged by the brokerage.)
• The trade is sent to the Mt4 server for routing (as usual).
• Rather than using the human dealer the Mt4 server routes the trade to the bridge, and the bridge re-routes the trade directly to the bank of the brokerage’s choice.
• Now the bank has the option of accepting or rejecting the trade.  The bank will also charge a commission, but the bank assumes all the risk.
• The bridge routes the trade result to the Mt4 server with the bank’s answer.
• The Mt4 server sends the “accept” or “reject” message to the client. 

Since the Mt4 Bridge will be installed on the same server as the Mt4 Server, there is virtually no delay in processing the trade requests (100ms).  If the bridge is installed on a different machine, the delay could increase to 1500ms.

Features and Construction

Each bridge is specifically developed with the client and bank’s personal needs in mind.  Boston Technologies will customize your bridge for a specific currency, connection to a specific bank, or any other necessary component as requested.  The bridges are built in Java and provide:

• Full logs of all transactions for security and redundancy.
• Support of Instant Orders, Market Orders, Pending Orders, Order Modification, Take Profit, Stop Loss, and Delete Order.
• Encrypted communications with the bank via a VPN, SSL, or certificate protected connection.
• Easy-to-navigate graphical user interface (GUI).
• Support for multiple bridges on a single Mt4 Server.
• Full reporting of the entire bridge trading activity in a universal format.
• Scheduled tasks (connect/disconnect, reporting, etc.)

We can tailor a bridge that has all the necessary elements for your brokerage or bank at a very reasonable cost.  Please contactus at 203-966-5118 to receive more detailed information suited specifically for your organization or complete the form below.