How Does ‘Fill Rate’ Specifically Measure Quote Competitiveness on an RFQ Platform?
Fill rate is the percentage of quotes that result in a trade compared to the total number of quotes provided. A higher fill rate indicates that a trader's quotes were consistently attractive and competitive enough to be chosen by the initiator of the RFQ.
Low fill rates suggest the quotes were often too expensive (if selling) or too cheap (if buying) compared to rivals. It is a direct measure of pricing quality and market acceptance.
Glossar
High Fill Rate
Execution ⎊ High Fill Rate, within cryptocurrency derivatives and options trading, denotes the proportion of an order fully satisfied at the requested price or better, reflecting efficient market access and liquidity.
Fill Rate Benchmark
Measurement ⎊ A fill rate benchmark serves as a quantitative standard against which the execution performance of a trading algorithm or venue is measured, calculated as the proportion of an order's volume that is successfully executed.
Quote Competitiveness
Precision ⎊ Quote competitiveness, within cryptocurrency derivatives, reflects the narrowness of bid-ask spreads relative to underlying asset volatility and liquidity, indicating efficient price discovery.
Effective Fill Rate
Execution ⎊ Effective Fill Rate within cryptocurrency derivatives signifies the proportion of an order executed at the desired price or better, reflecting market accessibility and liquidity conditions.
Fill Rate
Metric ⎊ Fill rate is a crucial execution metric representing the percentage of an order's total requested volume that is successfully executed at or better than the specified limit price.
Fill Rates
Metric ⎊ Fill rates represent the percentage of an order's total volume that is successfully executed at the requested price or better, a crucial performance metric in quantitative trading and market analysis.