Parity Energy Platform (PEP) is an online marketplace that gives traders electronic access to the over-the-counter (OTC) energy option markets. PEP provides traders with full control of their orders in addition to individualized broker support. PEP brings the benefits of electronic trading to the option trading community:
• Transparency
• Increased pricing efficiency
• Automated quoting
• Front- to back-office integration,
straight-through processing
• Speed of execution
PEP
Built specifically for options, PEP offers many benefits to the trader:
- All price quotes are firm: Trade with a click of the mouse.
- Never get run over: Orders are automatically pulled, contingent on futures price limits and time.
- Fast price discovery and constant liquidity: Firm two-way markets provided on demand by liquidity providers made easy with request for quote (RFQ) feature.
- Broker-assisted liquidity: All orders on the screen are being actively disseminated by Parity Energy's experienced team of brokers.
- Zero IT support: PEP can be accessed from most internet browsers. No downloads, no installation, no firewall issues.
- Free access: There is no cost to sign up for PEP and enjoy immediate access to valuable market quotes. Commissions on transactions apply.
Integration
PEP can be accessed from a variety of applications and supports system integration for market data, electronic quoting and order management.
PEP can be accessed from a variety of applications and supports system integration for market data, electronic quoting and order management.
- FIX API: PEP supports a FIX API for automating order management, streaming quotes, and receiving real-time market data and executions allowing you to integrate proprietary risk and pricing systems.
- Parity Energy Add-in for Microsoft Office Excel: Parity Energy provides an add-in for Microsoft Office Excel that allows you to automate quoting, receive market data, and get instant notifications of fills using a spreadsheet.
- WhenTech Markets®: Parity has a direct integration with WhenTech Markets® allowing you to stream live prices on PEP directly from your sheets, and get instant updates of your trades when you match on PEP.
- OptionsCity® Metro: OptionsCity provides full connectivity to PEP through the Metro trading system. Monitor PEP markets and RFQs, and place quotes and orders on PEP all through the Metro interface.
For more information or to inquire about system certification, please call Kent Vogel at +1.646.867.1986 or email at kent.vogel@parityenergy.com.
Clearing All transactions on PEP are novated to a clearinghouse. This allows all PEP customers, including banks, hedge funds, energy producers, consumers, marketers and locals to trade with each other without exposure to bilateral counterparty risk. PEP supports all major clearinghouses, including CME ClearPort and ICE Clear.
Liquidity Provision Incentives Parity Energy encourages market participants to monetize their order flow by providing liquidity to PEP. Incentives are available under certain conditions for streaming quotes and responding to requests for quotes. Please call Charles Reyl at +1.646.330.5075 or email at charles.reyl@parityenergy.com for more information.
Regulatory Status PEP operates as an Exempt Commercial Market, or ECM, under the Commodity Exchange Act and as such, PEP is exempt from regulation by the Commodity Futures Trading Commission (CFTC). To rely on this exemption, under CFTC Rules and Regulations, Parity Energy is subject to certain access, reporting and record-keeping requirements with respect to the trading of OTC energy derivative contracts on PEP. Because PEP operates as an ECM, every participant trading on PEP must qualify as an Eligible Commercial Entity (ECE) as defined by the Commodity Exchange Act.
