Hi all,
You all experts here on this forum so thought to ask this question here. Today I was studying trade life cycle.
In trade life cycle, risk management function is there.
In books it is mentioned that once order gets executed by front office , risk management team will conduct a number of checks and calculations to see whether the levels of risk involved with the client's order before processing the order for next stage.
But in reality order gets executed within few seconds or minutes. So , when this risk management function as mentioned above takes place???? Because it would take couple of hours to perform it.
You all experts here on this forum so thought to ask this question here. Today I was studying trade life cycle.
In trade life cycle, risk management function is there.
In books it is mentioned that once order gets executed by front office , risk management team will conduct a number of checks and calculations to see whether the levels of risk involved with the client's order before processing the order for next stage.
But in reality order gets executed within few seconds or minutes. So , when this risk management function as mentioned above takes place???? Because it would take couple of hours to perform it.