Complex Instruments
A complex instrument represents the specific leg and ratio details for a complex strategy.
For example, if a customer wanted to buy five contracts of June 150 IBM Calls and sell 15 contracts of June 175 IBM Calls, they would first be required to request the complex instrument be created using a two-step process. A customer using FIX can also enter an order using a one-step process (see Instrument Creation).
Once created, a complex order book would be opened for this strategy and the complex instrument would look similar to the below record in the system:
| Instrument ID | Legs | Symbol | Side | Ratio | Expiration | Strike | Class Type |
|---|---|---|---|---|---|---|---|
| CI0001 |
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A complex instrument only needs to be created once and will exist in the system for the remainder of the trading day unless tied to a working GTC order. Any customer can submit orders using the Instrument ID to trade this specific strategy without having to recreate the instrument.
If a customer wanted to buy five contracts of June 150 IBM Calls and sell 15 contracts of June 175 IBM Calls, they would submit a complex order that looks like the following: Buy 5 CI0001 @ Net Limit Price of $0.50.
If a customer wanted to sell two contracts of June 150 IBM Calls and buy six contracts of June 175 IBM Calls, they would submit a complex order that looks like the following: Sell 2 CI0001 @ Net Limit Price of $0.50.