Currency Exposure Management
The Exposure component is available in the XTrader module within your XCore Portal and can be used for internal as well as external purposes, notably when it comes to checking out the potential profit opportunities or possible loss threats due to the account exposure.
Exposure is the amount of money that might be lost by holding a position due to the market movement.
Note: Data information that is shown in the exposure component is presented once you have configured an XCore Account, linked/mapped it to the required XTrader connector and provided Data Access to the user. In case you are not able to view any data information on this component contact your XCore Admin user in order to further configure an XCore account for the XTrader and provide you required data access configurations.
Technical Specifications
The exposure tab consists of the following columns:
| Columns | Description |
|---|---|
| Currency | Displays every single currency that is involved in the trading by holding respective positions. |
| Nominal exposure | The net amount of the currency across the open positions: base amounts where it is the base currency plus quote amounts where it is the quote currency, in that currency. |
| Account currency exposure | The nominal exposure in the account currency (base × Conv 1 × Conv 2, quote × Conv 2). This value is netted. |
| % Exposure | The account currency exposure of the currency as a percentage of the sum of the absolute account currency exposures of all currencies. |
| Manage | Used to manage exposure (reduce) of a particular currency chosen by the user with the available currencies in the XCore. |
How to manage (reduce) exposure of a currency
In order to manage exposure of currency the Exposure component is used, which presents exposures of each currency that have open positions associated with a specific XCore Account that is linked with an XTrader connector.
Decide on the currency on which you need to reduce exposure and press the Manage button which will open pop up window.
- In the top left of window it presents the current exposures of currencies, which user can select from.
- In the top right of window it presents the list currencies against which user can reduce exposure.
- Presents the currency by which the exposure will be reduced. (This can be changed manually if needed by entering values)
- In the middle of window it presents the preview of the trade to be executed, showing the Base, Quote, Price.
- In the bottom left of window it presents the summary of exposure of currency after the trade is executed.
- In the bottom right of window it presents trading parameters on which the trade will be executed and the Execute Trades button to place the trade.
Once the user has decided to reduce exposure, the user needs to press Execute Trades button to proceed filling the order and currency is reduced.
Executed trade is shown indicating how the trade was executed (Fill/Partial).
Note: The Max size of the trade to be sent for execution depends on the Max Size value that is set in the Connector Account Setting component.
Note: The exposure amount by which currency can be reduced also depends on the AStep value that is set in the Connector Account Setting component