Suite of API-first risk management tools for Broker-Dealers and Clearing Firms

Overview

Global retail investor interest in equity options is accelerating. The OCC continues to set new annual cleared contract volume records for the U.S. exchange-listed options industry, but this surge in investor demand has taken a toll on incumbent infrastructure. In March 2020 alone, Robinhood had outages three days in a row due to stress on its infrastructure—which struggled with unprecedented load. As this trend continues, brokerage infrastructure - market data, exchange connectivity, real-time risk management, order management and routing - will continue to be strained, especially in instances where the technology stack is a patchwork of independent, legacy systems.

Sarna's advanced suite of APIs provide a durable Brokerage-in-a-Box solution, including commercial-ready risk modules and real-time margin calculations for correspondent clearing firms, brokerages, and trading firms. Currently, margin calculations are often done manually or overnight, as clearing firms use end-of-day positions to calculate margin requirements for the following trading day. This leads to potential intraday position risk that Sarna can identify and help prevent with its real-time buying power engine and day-trading risk calculations. Sarna's vision is to reduce fragility in our capital markets by providing the technical infrastructure necessary for real-time settlement and clearing.