Max OTC Percentage

Max OTC Percentage defines how much of an order can be executed via RFQs (Request for Quotes) instead of public exchanges. This setting helps balance cost efficiency and execution speed by determining the share of an order that can be filled off-exchange through OTC channels.

How It Works

• Higher Max OTC Percentage – More execution via RFQs, reducing taker fees and minimizing market impact.

• Lower Max OTC Percentage – More execution on exchanges, prioritizing speed and liquidity access.

Considerations

• High Max OTC Percentage (e.g., 80%) – More RFQ Execution

  • Best for large trades, minimizing slippage and exchange fees.

• Low Max OTC Percentage (e.g., 20%) – More Exchange Execution

  • Ideal for fast execution in highly liquid markets.

This setting allows traders to optimize execution costs while maintaining control over order placement between OTC and exchange execution.