Broker Dealer Back Office Software and Front Office Trading Systems

• Trade capture. Receive executed trades from the front office or order system with every detail settlement needs.
• Confirmations. Produce customer confirmations promptly and in the firm's own format.
• Delivery and payment. Arrange payment and the delivery of securities against the right accounts.
• Inventory and cost. Track positions and the cost of each block under a consistent method such as FIFO or LIFO.
• Accounting and tax. Post entries to the general ledger and produce year-end tax forms.

The two offices drift apart for predictable reasons. Trades are amended after execution, settlement dates move, and corrections made in one system never reach the other. Each mismatch has to be found and fixed by hand, often near the close of the day. A back office that receives trades directly from the front office, and that keeps its own history of every amendment, removes most of those breaks before they start.

Fixed income adds calculations that equities do not need: accrued interest, price and yield, and factors on mortgage-backed securities. MIMICS Back Office processes security purchases and sales, makes the payments, assists in delivery and calculates prices and yields. It prepares confirmations to your specifications, tracks blocks by LIFO, FIFO or specific CUSIP or ISIN, interfaces with the general ledger and DDA so financial statements stay current, and streamlines 1099 processing with full audit trails. Firms that settle through the Depository Trust Company can connect with MIMICS DTC for automated clearing and settlement.

MIMICS Front Office gives salespeople an intelligent view of available inventory in fixed income securities, equities and their derivatives. It notifies a salesperson of potential customers for specific trades, saves quotes for customers who want time to decide, and tracks appointments, calls and trading preferences. Once a sale is made, the trade passes to the back office automatically. Where orders come from clients rather than from the firm's own inventory, an order system such as Order Management records quantity or value, price limits and duration before the trade reaches the back office. Equity desks taking client orders can use Equity Trading, which supports limit, stop/loss, GTC and day orders, FIX connectivity, pre-trade compliance checks and corporate actions such as dividends and splits.

A repurchase agreement combines a sale, a loan and a collateral pledge. Repo software must track each agreement's term, rate and collateral, reprice that collateral and make sure a security is not pledged twice. MIMICS Repurchase Agreements handles overnight, term and TFN repos and reverse repos, entered manually or through electronic sweeps, with variable principals; fixed, variable or tiered rates; electronic pricing and factor processing; GL and DDA posting; and 1099s. Investment managers using repos to put portfolio securities to work can use Repos in the Investment Suite, which links to Treasury Portfolio.

Foreign exchange desks need positions, P&L and exposure by currency, plus settlement and accounting for each contract. MIMICS Forex Trading supports spot, forwards, swaps, NDFs and FX options, with a live trading blotter, direct and indirect rates, commission rules, managerial approval and both front and back office features, including accounting.

Precious metals trading brings physical custody into the back office. MIMICS Precious Metals follows the investor from receipt of funds through purchase, storage, sale and disbursement, tracking weight, fineness, serial number and hallmark, vault locations and fees.

Follow one trade of each type you deal in from quote to ledger and count how many times anyone types the same data. Ask how confirmations are designed, how settlement breaks are reported and which interfaces exist to your custodians and payment networks. MIMICS tailors its trading systems to your instruments and workflow. To discuss your desk, contact us.