The Trade Lifecycle
Before we explore the Moxy User Interface, let's talk about what Moxy is! Moxy is a Trade Order Management system that integrates with a portfolio management system like APX or Axys. Firms use Moxy to generate and manage trades that will affect their portfolio positions. Below is a diagram of the "Life of a Trade" in Moxy, along with the typical "roles" in a firm that would be involved at each stage.
Moxy is accessed via double-clicking a shortcut on the workstation. Moxy can be accessed either using SQL Authentication (users will be required to enter a username and password) or NT Authentication (Windows credentials are passed to the program).
Once Moxy loads, we can see the main Moxy window. Right now we don't have any views or system dialog boxes open. Mouse over the "hotspots" under each Menu item for a brief overview of what they do. We'll cover these more in-depth later on.
The Order View
Here, I've opened up the Order View. This is the "blotter" from which orders are managed in Moxy.
Each line item shown on the Order View represents an order. You can see the various transaction codes, the order quantities, security symbols, and the brokers that are associated with each order. The columns displayed are customizable and different users within a firm will want to see different information pertaining to an order. Mouse over the hotspot next to Order ID 56 to learn more.
By clicking the black triangle under the "||" column, we expand the order details for the selected order (56) and we are in what is called Zoom View. Within Zoom View, I have selected the Preallocations tab. When a portfolio is associated with an order, we call that a "Preallocation"; the respective buy/sell quantity for a portfolio in an order is known as the "Preallocated Quantity". Mouse over the hotspots for more information.
As we previously mentioned, Moxy is a Trade Order Management system. But how do these trade orders get created? There are 3 core methods of order creation in Moxy: Quick Orders, Allocation Strategies, and Model Sessions. The type of order creation method used will depend on a user's goals for a given order. Let's take a look at the 3 core order creation methods.
The Quick Order (also referred to as the COE, for the Customizable Order Entry on the Order View) is used to create orders for a single security. When creating a quick order the user can assign a single portfolio to the order, assign a fixed-ratio group, or leave the portfolio unspecified until just prior to allocation. Quick Orders are used when the Target Quantity for an order is known.
Below, we can see a screenshot of a Quick Order that is being used to create an order for 10 shares of "SSNC". We are preallocating these 10 shares to the portfolio "Abbott", and the broker Fidelity will be assigned to the order. I've accessed the "Order Edit" tab from my Order View and selected New Buy in order to enable me to enter in information for the order.
Like the Quick Order, an Allocation Strategy is typically used to create orders for a single security and is typically used for this purpose (the exception is when using Reinvestment, so you could potentially end up with buys for multiple securities). Whereas Quick Orders require the user to enter a quantity, Allocation Strategies require the user to specify at least one account and a strategy for the trade. A user can enter in the desired strategy to be used, and Moxy will calculate the buy/sell amounts required for portfolios.
Below is the Transactions tab in the Allocation Strategy dialog. This is where I specify the Transaction Code and Security that I wish to create orders for.
Here's the Portfolio Strategy tab in the Allocation Strategy dialog. Here, we can see that I'm asking Moxy to calculate the buys necessary to ensure that all the portfolios in my MoxyMaster group end up with a 2% position in GOOG.
One a user hits OK, Moxy displays the proposed results; if these are to a user's satisfaction, they can be approved, and an order with preallocations will be created. Below we see the Order-level (top section) details, and the Preallocation detail (Portfolio-level datapoints and portfolio buy/sell amounts) that resulted from this Allocation Strategy. The "Green Checkbox" is used to approve the results of the Strategy.
Modeling Sessions allow for the creation of multiple orders for many accounts. A Model is a list of Securities and the percentages they should make up in the portfolio. Below is a simple model, with 4 securities and their "Model %":
Portfolios and groups can be run "against" a model, with the goal typically being that their positions will end up in line with the "Model %". Modeling sessions can be quite complex. Modeling in Moxy can server a variety of needs: ensuring that a portfolio or group's positions match a desired security weighting, processing cash debits or credits, rebalancing a portfolio's holdings, and portfolio liquidation are all common scenarios for use.
Below is a more complex model; I've created a model from one portfolio, and I'm modeling a second account against the model. Use the hotspots for more detail.
The System Menu
The System Menu is an important location in Moxy where users can view and edit system-related information. Mouse over the hotspots in the image below to learn more.
Reports can be accessed by going to the Reports menu item. From here, reports are generally grouped by purpose. Clients use reports for a variety of needs: from communicating trade information to brokers, to monitoring portfolio positions, to auditing past trades.