Requesting a Quote
An RFQ asks the network for a firm price on a pair, a tenor, a notional, and a direction. Dealers across the network quote, the best price returns to the taker firm until it expires, and no trade exists until the taker accepts.
What is an RFQ?
An RFQ is how the taker asks for a price: the taker describes the desired trade, and a firm quote comes back. The request carries no obligation; a trade exists only if the taker accepts the quote.
A request names four things. The table below shows each one:
| Field | What it says |
|---|---|
| Pair | the two currencies traded, such as USD/INR |
| Tenor | how far ahead the trade settles, such as one month or one year |
| Notional | the size of the trade |
| Direction | which side the taker takes: buy or sell |
How is a request priced?
CRX routes the request to dealers and returns the best quote to the taker.
The following diagram shows the path from request to open position:
How long is a quote valid?
A quote is firm for a fixed window, and the expiry is shown as a countdown when the quote arrives. Accept before the expiry and the trade binds at exactly the quoted price. If the quote lapses, no trade exists and nothing is owed; a fresh price can be requested at any time.
Accepting signs the terms: the position opens at the quoted price, with both sides' collateral locked in the same moment. Accepting a Quote (~2 min) covers the record both firms sign and how it binds.