# How Does the FX Global Code Specifically Address Information Leakage during the Last Look Window? ▴ Question

**Published:** 2025-08-13
**Categories:** Question

---

![A luminous teal sphere, representing a digital asset derivative private quotation, rests on an RFQ protocol channel. A metallic element signifies the algorithmic trading engine and robust portfolio margin](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-microstructure-optimizing-prime-os.jpg)

![A conceptual image illustrates a sophisticated RFQ protocol engine, depicting the market microstructure of institutional digital asset derivatives. Two semi-spheres, one light grey and one teal, represent distinct liquidity pools or counterparties within a Prime RFQ, connected by a complex execution management system for high-fidelity execution and atomic settlement of Bitcoin options or Ethereum futures](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-market-microstructure-2.jpg)

## Concept

The practice of “last look” in foreign exchange markets represents a critical intersection of risk management and information integrity. It is a mechanism born from the high-speed, decentralized nature of electronic trading, affording a [liquidity provider](https://prime.greeks.live/area/liquidity-provider/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) (LP) a final, brief window to re-evaluate a client’s [trade request](https://prime.greeks.live/question/in-what-specific-scenarios-should-a-request-for-quotation-be-used-instead-of-a-request-for-proposal/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) against its quoted price before execution. This operational pause is designed as a defense against the latencies and price movements that can occur in the milliseconds between a quote being issued and a trade request being received. However, this very mechanism, intended for risk mitigation, creates a potential vulnerability ▴ the leakage of valuable, actionable information.

When a client submits a trade request, they are revealing their immediate trading intention. This data, in the hands of the LP during the [last look window](https://prime.greeks.live/area/last-look-window/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), becomes [Confidential Information](https://prime.greeks.live/area/confidential-information/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite). The core issue the FX Global Code confronts is the potential misuse of this information. An LP could, for instance, see a large buy order, reject it, and then use that knowledge to adjust its own pricing or execute its own trades before the client can re-submit their order elsewhere.

This front-running, even on a micro-level, erodes trust and creates an uneven playing field, transforming a [risk control](https://prime.greeks.live/area/risk-control/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) tool into a source of informational advantage. The Code’s intervention is therefore not about eliminating [last look](https://prime.greeks.live/area/last-look/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), but about defining the ethical and operational boundaries of its use to preserve market integrity.

> The FX Global Code establishes clear protocols to prevent the “last look” window from being exploited for informational advantage, ensuring it serves solely as a risk control mechanism.

The challenge is systemic. In a market processing trillions of dollars daily, even minute informational advantages can be significant when aggregated. The [FX Global Code](https://prime.greeks.live/area/fx-global-code/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), developed by a partnership of central banks and market participants, steps in as a set of guiding principles to standardize conduct. It addresses the information asymmetry inherent in the last look process by establishing a clear framework for transparency and fair dealing.

Its purpose is to ensure that the client’s information is used only for the legitimate purpose of a validity and [price check](https://prime.greeks.live/question/what-are-the-primary-sources-of-latency-in-a-dynamic-risk-check-system/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) for that specific trade, and for nothing else. By doing so, the Code aims to build a more robust and trustworthy market structure where all participants can operate with confidence.

![A sophisticated, illuminated device representing an Institutional Grade Prime RFQ for Digital Asset Derivatives. Its glowing interface indicates active RFQ protocol execution, displaying high-fidelity execution status and price discovery for block trades](https://options.greeks.live/wp-content/uploads/2025/07/principal-rfq-engine-for-digital-asset-derivatives-best-execution-1.jpg)

![A dark blue, precision-engineered blade-like instrument, representing a digital asset derivative or multi-leg spread, rests on a light foundational block, symbolizing a private quotation or block trade. This structure intersects robust teal market infrastructure rails, indicating RFQ protocol execution within a Prime RFQ for high-fidelity execution and liquidity aggregation in institutional trading](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-framework-multi-leg-spreads-best-execution-capital-efficiency.jpg)

## Strategy

The FX Global Code’s strategy for mitigating [information leakage](https://prime.greeks.live/area/information-leakage/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) during the last look window is centered on two core tenets ▴ radical transparency and the strict prohibition of improper information use. This approach is primarily articulated through [Principle 17](https://prime.greeks.live/area/principle-17/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), which has been refined to provide explicit guidance on what constitutes acceptable and unacceptable behavior. The Code moves beyond a simple “do not misuse data” instruction, creating a strategic framework that forces market participants to define, disclose, and adhere to a specific set of operational protocols.

![A deconstructed mechanical system with segmented components, revealing intricate gears and polished shafts, symbolizing the transparent, modular architecture of an institutional digital asset derivatives trading platform. This illustrates multi-leg spread execution, RFQ protocols, and atomic settlement processes](https://options.greeks.live/wp-content/uploads/2025/07/deconstructed-principal-trading-system-revealing-core-mechanics-of-digital-asset-derivatives-execution.jpg)

## Defining the Permissible Use of Last Look

The Code explicitly states that last look, if utilized, should be a risk control mechanism for verifying the validity and price of a trade request. This is a crucial strategic boundary. It reframes last look from a potential profit-generating tool to a purely defensive one.

Any use of the client’s trade request information for activities other than this specific risk check is deemed inconsistent with good market practice. This includes gathering information with no intention of trading or using the data to inform other trading activities.

The strategic implications for [liquidity providers](https://prime.greeks.live/question/what-role-do-non-bank-liquidity-providers-play-in-offering-deep-liquidity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) are significant. They must structure their systems and compliance frameworks to ensure and demonstrate that their last look process is ▴ 

- **Purpose-Driven** ▴ The decision to accept or reject a trade must be based on a pre-defined and disclosed set of criteria, such as price changes or credit availability.

- **Time-Bound** ▴ The last look window should be as short as possible, minimizing the time the LP holds the client’s confidential information.

- **Consistent** ▴ The application of last look should be consistent across clients and over time, avoiding discriminatory practices.

![A precision instrument probes a speckled surface, visualizing market microstructure and liquidity pool dynamics within a dark pool. This depicts RFQ protocol execution, emphasizing price discovery for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-flow.jpg)

## Prohibiting Information-Based Trading Activity

A key strategic element introduced in revisions to the Code is the direct prohibition of [trading activity](https://prime.greeks.live/question/what-are-the-operational-challenges-when-reconciling-pre-allocated-capital-with-real-time-trading-activity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) that utilizes the information from the client’s trade request during the last look window. This means that an LP cannot, upon receiving a request, pre-hedge its own position before deciding to accept the client’s trade. This practice, known as “cover-and-deal” in some contexts, is deemed inappropriate because it can move the market against the client, even if their trade is ultimately accepted. The LP would be trading with the benefit of near-certain knowledge of a forthcoming transaction.

To illustrate the strategic differences in compliant and non-compliant behaviors, consider the following table:

| Scenario | Non-Compliant Action (Information Misuse) | Compliant Action (Risk Control) |
| --- | --- | --- |
| Large EUR/USD Buy Request Received | The LP’s system immediately begins buying EUR/USD for its own book, anticipating that it will accept the client’s trade. It also skews its other quoted prices higher. | The LP’s system checks if the requested price is still valid within its own risk tolerance and if the client has sufficient credit. No other trading activity occurs. |
| Trade Request is Rejected due to Price Change | The LP holds the EUR/USD it just bought, benefiting from the knowledge that a large buyer is in the market. It may continue to trade on this information. | The LP’s system discards the information from the rejected trade. It is not used to inform any subsequent trading decisions or price adjustments. |
| Client Disclosure | The LP’s disclosure is vague, stating only that “last look may be used.” It does not specify the duration or the criteria for rejection. | The LP provides clear, detailed disclosure on its last look methodology, including the typical hold time and the specific reasons a trade may be rejected. |

This strategic framework effectively forces a choice upon liquidity providers ▴ either operate with full transparency and within the strict confines of a risk-control-only last look, or do not use last look at all. By making the misuse of information explicitly non-compliant, the Code gives liquidity consumers a clear benchmark against which to measure the [execution quality](https://prime.greeks.live/area/execution-quality/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) and integrity of their counterparties.

![Precision-engineered multi-vane system with opaque, reflective, and translucent teal blades. This visualizes Institutional Grade Digital Asset Derivatives Market Microstructure, driving High-Fidelity Execution via RFQ protocols, optimizing Liquidity Pool aggregation, and Multi-Leg Spread management on a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-multi-vane-system-illustrating-institutional-digital-asset-derivatives-rfq-protocols-market-microstructure-optimized-liquidity-aggregation-prime-os-high-fidelity-execution.jpg)

![A spherical control node atop a perforated disc with a teal ring. This Prime RFQ component ensures high-fidelity execution for institutional digital asset derivatives, optimizing RFQ protocol for liquidity aggregation, algorithmic trading, and robust risk management with capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-powered-high-fidelity-digital-asset-derivatives-execution.jpg)

## Execution

Executing a trading strategy that adheres to the FX Global Code’s principles on last look requires a robust operational and technological framework. It is insufficient for a market participant to simply agree to the Code’s tenets; they must build and maintain systems that enforce compliance by design. This involves granular control over data handling, precise monitoring of trading activity, and transparent reporting to clients.

![A luminous blue Bitcoin coin rests precisely within a sleek, multi-layered platform. This embodies high-fidelity execution of digital asset derivatives via an RFQ protocol, highlighting price discovery and atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-precision-3.jpg)

## Operational Protocol for Compliant Last Look

A compliant last look process follows a strict, auditable sequence of events. The moment a client’s trade request is received, it must be treated as confidential information subject to the restrictions of Principles 19 and 20. The execution protocol must ensure that this information is firewalled from any part of the firm that could misuse it.

The following table outlines a compliant operational flow:

| Step | Action | Data Usage Constraint | Compliance Verification |
| --- | --- | --- | --- |
| 1. Trade Request Ingress | Liquidity Consumer (LC) sends a trade request to the Liquidity Provider (LP). | The request data (pair, size, direction, price) is now Confidential Information. | Timestamping of request receipt. |
| 2. Validity Check | The LP’s system performs automated checks on the trade request. | Information is used solely to verify trade parameters against static data (e.g. notional limits, credit status). | Logs of validity check results. |
| 3. Price Check (The “Look”) | The LP’s system compares the requested price against its current, independently sourced price feed. | Information from the request cannot be used to alter the LP’s price feed or to initiate any hedging activity. | Snapshot of the LP’s price at the moment of the check; logs showing no trading activity by the LP in that instrument. |
| 4. Decision | The LP’s system makes a binary accept/reject decision based on the pre-disclosed price tolerance. | The decision is based only on the result of the price check. | Timestamping of the decision; reason code for rejection is logged. |
| 5. Post-Rejection | If the trade is rejected, all information from the client’s request is purged from short-term memory. | The information is not stored in any database accessible to traders or pricing algorithms. | System audit logs demonstrating data purge or inaccessibility. |

![A central core, symbolizing a Crypto Derivatives OS and Liquidity Pool, is intersected by two abstract elements. These represent Multi-Leg Spread and Cross-Asset Derivatives executed via RFQ Protocol](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-derivatives-rfq-protocol-multi-leg-spread-execution.jpg)

## Quantitative Monitoring and Control

To ensure compliance, liquidity providers must implement quantitative monitoring systems to detect anomalies that could indicate information leakage. Likewise, liquidity consumers can use similar metrics to evaluate their LPs. These metrics provide an objective, data-driven view of last look practices.

- **Hold Time Analysis** ▴ This measures the duration of the last look window. Excessively long or highly variable hold times can be a red flag, suggesting that something other than a simple price check is occurring. Firms should monitor the mean, median, and 95th percentile of hold times.

- **Rejection Rate Analysis** ▴ A high rejection rate, especially during volatile markets, might be normal. However, asymmetric rejection rates (e.g. rejecting more trades that would have been profitable for the client) are a serious concern. Analysis should track rejection rates overall and correlate them with short-term market movements following the rejection.

- **Post-Rejection Market Impact** ▴ This is a critical metric for detecting information leakage. If the market consistently moves in the direction of a rejected trade immediately after the rejection, it suggests the LP may be using the information to trade ahead of the client. This can be measured by comparing the market price at the time of rejection to the price a few hundred milliseconds later.

> Effective compliance requires not just policy, but technology that enforces information barriers and provides auditable proof of adherence.

Ultimately, the execution of the FX Global Code’s guidance on last look is a technological and cultural challenge. It requires firms to invest in sophisticated trading and monitoring systems that can enforce strict information barriers. It also demands a culture of compliance where the principle of fair dealing is paramount. For liquidity consumers, the Code provides a clear set of standards and a quantitative toolkit to hold their providers accountable, fostering a more transparent and equitable market for all participants.

![A polished metallic needle, crowned with a faceted blue gem, precisely inserted into the central spindle of a reflective digital storage platter. This visually represents the high-fidelity execution of institutional digital asset derivatives via RFQ protocols, enabling atomic settlement and liquidity aggregation through a sophisticated Prime RFQ intelligence layer for optimal price discovery and alpha generation](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-optimization-for-high-fidelity-execution-and-liquidity-aggregation-via-prime-os-intelligence-layer.jpg)

## References

- Global Foreign Exchange Committee. (2021). Execution Principles Working Group Report on Last Look.

- Global Foreign Exchange Committee. (2017). GFXC Request for Feedback on Last Look practices in the FX Market.

- Cleary Gottlieb Steen & Hamilton LLP. (2017). The FX Global Code.

- FlexTrade. (2018). Global FX Code Gains Adoption but Last Look is a Thorny Issue.

- The Investment Association. (2019). Guide to the FX Global Code.

- RBA. (2021). FX Global Code ▴ Review of Pre-hedging and Last Look.

- Bank for International Settlements. (2017). FX Global Code.

![Central institutional Prime RFQ, a segmented sphere, anchors digital asset derivatives liquidity. Intersecting beams signify high-fidelity RFQ protocols for multi-leg spread execution, price discovery, and counterparty risk mitigation](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-cross-asset-rfq-execution-hub.jpg)

## Reflection

![An intricate, transparent cylindrical system depicts a sophisticated RFQ protocol for digital asset derivatives. Internal glowing elements signify high-fidelity execution and algorithmic trading](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-protocol-architecture.jpg)

## Calibrating Trust in the Execution Chain

The FX Global Code provides a robust framework for addressing the asymmetries of the last look window, yet its efficacy rests upon the vigilance of market participants. The principles outlined are not self-enforcing; they are a blueprint for a more equitable system that requires active construction and maintenance. For the institutional trader, this shifts the perspective from passive acceptance of market structure to active evaluation of it. The knowledge of how the Code addresses information leakage becomes a diagnostic tool, a method for calibrating the level of trust placed in each execution counterparty.

This prompts a critical internal question ▴ is your operational framework designed merely to seek liquidity, or is it engineered to assess the quality and integrity of that liquidity? Understanding the nuances of Principle 17 allows you to move beyond simplistic metrics like fill rates and toward more sophisticated analyses of execution quality. It encourages a dialogue with liquidity providers that is grounded in the specific, measurable standards of the Code. The ultimate advantage is found not just in securing a good price, but in building a network of counterparties whose operational architecture aligns with your own commitment to fair and transparent execution, thereby strengthening the entire system you rely upon.

![A sophisticated control panel, featuring concentric blue and white segments with two teal oval buttons. This embodies an institutional RFQ Protocol interface, facilitating High-Fidelity Execution for Private Quotation and Aggregated Inquiry](https://options.greeks.live/wp-content/uploads/2025/07/institutional-grade-rfq-protocol-interface-for-digital-asset-derivatives-execution.jpg)

## Glossary

<a href="https://prime.greeks.live/area/liquidity-provider/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision-engineered blue mechanism, symbolizing a high-fidelity execution engine, emerges from a rounded, light-colored liquidity pool component, encased within a sleek teal institutional-grade shell. This represents a Principal's operational framework for digital asset derivatives, demonstrating algorithmic trading logic and smart order routing for block trades via RFQ protocols, ensuring atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-crypto-derivatives-os-core-algorithmic-execution-engine.jpg)

## Liquidity Provider

Meaning ▴ A Liquidity Provider is an entity, typically an institutional firm or professional trading desk, that actively facilitates market efficiency by continuously quoting two-sided prices, both bid and ask, for financial instruments. </a><a href="https://prime.greeks.live/question/in-what-specific-scenarios-should-a-request-for-quotation-be-used-instead-of-a-request-for-proposal/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precise digital asset derivatives trading mechanism, featuring transparent data conduits symbolizing RFQ protocol execution and multi-leg spread strategies. Intricate gears visualize market microstructure, ensuring high-fidelity execution and robust price discovery](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-institutional-digital-asset-derivatives-rfq-execution-framework.jpg)

## Trade Request

An RFQ is a procurement protocol used for price discovery on known requirements; an RFP is for solution discovery on complex problems. </a><a href="https://prime.greeks.live/area/confidential-information/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A dark, sleek, disc-shaped object features a central glossy black sphere with concentric green rings. This precise interface symbolizes an Institutional Digital Asset Derivatives Prime RFQ, optimizing RFQ protocols for high-fidelity execution, atomic settlement, capital efficiency, and best execution within market microstructure](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-protocol-control-system.jpg)

## Confidential Information

Meaning ▴ Confidential Information, within the context of institutional digital asset derivatives, designates any non-public data that provides a material competitive advantage or carries a significant financial liability if disclosed. </a><a href="https://prime.greeks.live/area/last-look-window/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Central metallic hub connects beige conduits, representing an institutional RFQ engine for digital asset derivatives. It facilitates multi-leg spread execution, ensuring atomic settlement, optimal price discovery, and high-fidelity execution within a Prime RFQ for capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-digital-asset-derivatives-rfq-protocol-execution-hub.jpg)

## Last Look Window

Meaning ▴ The Last Look Window defines a finite temporal interval granted to a liquidity provider following the receipt of an institutional client's firm execution request, allowing for a final re-evaluation of market conditions and internal inventory before trade confirmation. </a><a href="https://prime.greeks.live/area/risk-control/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A polished teal sphere, encircled by luminous green data pathways and precise concentric rings, represents a Principal's Crypto Derivatives OS. This institutional-grade system facilitates high-fidelity RFQ execution, atomic settlement, and optimized market microstructure for digital asset options block trades](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-institutional-digital-asset-derivatives-execution-hub.jpg)

## Risk Control

Meaning ▴ Risk Control defines systematic policies, procedures, and technological mechanisms to identify, measure, monitor, and mitigate financial and operational exposures in institutional digital asset derivatives. </a><a href="https://prime.greeks.live/area/last-look/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A sleek, multi-component system, predominantly dark blue, features a cylindrical sensor with a central lens. This precision-engineered module embodies an intelligence layer for real-time market microstructure observation, facilitating high-fidelity execution via RFQ protocol](https://options.greeks.live/wp-content/uploads/2025/07/institutional-rfq-protocol-intelligence-layer-for-digital-asset-derivatives-microstructure.jpg)

## Last Look

Meaning ▴ Last Look refers to a specific latency window afforded to a liquidity provider, typically in electronic over-the-counter markets, enabling a final review of an incoming client order against real-time market conditions before committing to execution. </a><a href="https://prime.greeks.live/area/fx-global-code/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision-engineered control mechanism, featuring a ribbed dial and prominent green indicator, signifies Institutional Grade Digital Asset Derivatives RFQ Protocol optimization. This represents High-Fidelity Execution, Price Discovery, and Volatility Surface calibration for Algorithmic Trading](https://options.greeks.live/wp-content/uploads/2025/07/principal-operational-framework-precision-calibration-for-institutional-digital-asset-derivatives-rfq-protocol-high-fidelity-execution-prime-os-and-volatility-surface-optimization.jpg)

## Fx Global Code

Meaning ▴ The FX Global Code represents a comprehensive set of global principles of good practice for the wholesale foreign exchange market. </a><a href="https://prime.greeks.live/question/what-are-the-primary-sources-of-latency-in-a-dynamic-risk-check-system/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Parallel marked channels depict granular market microstructure across diverse institutional liquidity pools. A glowing cyan ring highlights an active Request for Quote RFQ for precise price discovery](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-high-fidelity-execution-3.jpg)

## Price Check

The primary sources of latency in a dynamic risk check system are network distance, computational hardware, and software logic overhead. </a><a href="https://prime.greeks.live/area/information-leakage/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A transparent, blue-tinted sphere, anchored to a metallic base on a light surface, symbolizes an RFQ inquiry for digital asset derivatives. A fine line represents low-latency FIX Protocol for high-fidelity execution, optimizing price discovery in market microstructure via Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-rfq-protocol-sphere-high-fidelity-execution-gateway.jpg)

## Information Leakage

Meaning ▴ Information leakage denotes the unintended or unauthorized disclosure of sensitive trading data, often concerning an institution's pending orders, strategic positions, or execution intentions, to external market participants. </a><a href="https://prime.greeks.live/area/principle-17/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precise, multi-faceted geometric structure represents institutional digital asset derivatives RFQ protocols. Its sharp angles denote high-fidelity execution and price discovery for multi-leg spread strategies, symbolizing capital efficiency and atomic settlement within a Prime RFQ](https://options.greeks.live/wp-content/uploads/2025/07/digital-asset-derivatives-rfq-execution-microstructure-framework.jpg)

## Principle 17

Meaning ▴ Principle 17 establishes the operational mandate for dynamic, pre-trade liquidity aggregation across disparate digital asset derivatives venues. </a><a href="https://prime.greeks.live/question/what-role-do-non-bank-liquidity-providers-play-in-offering-deep-liquidity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Close-up reveals robust metallic components of an institutional-grade execution management system. Precision-engineered surfaces and central pivot signify high-fidelity execution for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-grade-digital-asset-derivatives-rfq-execution-precision-optimizing-market-microstructure-for-best-execution-and-prime-os.jpg)

## Liquidity Providers

Non-bank liquidity providers function as specialized processing units in the market's architecture, offering deep, automated liquidity. </a><a href="https://prime.greeks.live/question/what-are-the-operational-challenges-when-reconciling-pre-allocated-capital-with-real-time-trading-activity/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision-engineered interface for institutional digital asset derivatives. A circular system component, perhaps an Execution Management System EMS module, connects via a multi-faceted Request for Quote RFQ protocol bridge to a distinct teal capsule, symbolizing a bespoke block trade](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-interface-for-institutional-digital-asset-derivatives-request-for-quote-protocol-high-fidelity-execution-within-principal-operating-system.jpg)

## Trading Activity

Reconciling static capital with real-time trading requires a unified, low-latency system for continuous risk and liquidity assessment. </a><a href="https://prime.greeks.live/area/execution-quality/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Two diagonal cylindrical elements. The smooth upper mint-green pipe signifies optimized RFQ protocols and private quotation streams](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-microstructure-optimization-1.jpg)

## Execution Quality

Meaning ▴ Execution Quality quantifies the efficacy of an order's fill, assessing how closely the achieved trade price aligns with the prevailing market price at submission, alongside consideration for speed, cost, and market impact. </a>

**Tags:** [Liquidity Provider](https://options.greeks.live/area/liquidity-provider/), [Trade Rejection Analysis](https://options.greeks.live/area/trade-rejection-analysis/), [FX Global Code](https://options.greeks.live/area/fx-global-code/), [Global Foreign Exchange Committee](https://options.greeks.live/area/global-foreign-exchange-committee/), [Transparency in Trading](https://options.greeks.live/area/transparency-in-trading/), [Execution Quality](https://options.greeks.live/area/execution-quality/)	

## Discover More

- 
### [What Are the Regulatory Implications of High Last Look Rejection Rates for Liquidity Providers?](https://options.greeks.live/question/what-are-the-regulatory-implications-of-high-last-look-rejection-rates-for-liquidity-providers/)
![Abstract geometric design illustrating a central RFQ aggregation hub for institutional digital asset derivatives. Radiating lines symbolize high-fidelity execution via smart order routing across dark pools. Modular elements represent atomic settlement and capital efficiency within a Principal's operational framework.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-high-fidelity-execution-architecture.jpg)

High last look rejection rates trigger regulatory scrutiny as they signal a potential shift from risk mitigation to market abuse, undermining systemic integrity.

- 
### [What Are the Primary Data Requirements for Building an Effective Last Look Tca Model?](https://options.greeks.live/question/what-are-the-primary-data-requirements-for-building-an-effective-last-look-tca-model/)
![A precision probe, symbolizing Smart Order Routing, penetrates a multi-faceted teal crystal, representing Digital Asset Derivatives multi-leg spreads and volatility surface. Mounted on a Prime RFQ base, it illustrates RFQ protocols for high-fidelity execution within market microstructure.](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-digital-asset-derivatives-high-fidelity-execution-probe.jpg)

A Last Look TCA model requires high-precision, synchronized timestamps of the entire trade lifecycle to quantify provider hold times and rejection costs.

- 
### [What Are the Key Metrics for Evaluating the Quality of a Last Look Liquidity Provider?](https://options.greeks.live/question/what-are-the-key-metrics-for-evaluating-the-quality-of-a-last-look-liquidity-provider/)
![A deconstructed mechanical system with segmented components, revealing intricate gears and polished shafts, symbolizing the transparent, modular architecture of an institutional digital asset derivatives trading platform. This illustrates multi-leg spread execution, RFQ protocols, and atomic settlement processes.](https://options.greeks.live/wp-content/uploads/2025/07/deconstructed-principal-trading-system-revealing-core-mechanics-of-digital-asset-derivatives-execution.jpg)

Evaluating a last look LP is a quantitative audit of their embedded optionality, measured by fill rates, hold times, and transparency.

- 
### [Why Is Pre Hedging in a Competitive Request for Quote Scenario Considered a Significant Market Integrity Risk?](https://options.greeks.live/question/why-is-pre-hedging-in-a-competitive-request-for-quote-scenario-considered-a-significant-market-integrity-risk/)
![Institutional-grade infrastructure supports a translucent circular interface, displaying real-time market microstructure for digital asset derivatives price discovery. Geometric forms symbolize precise RFQ protocol execution, enabling high-fidelity multi-leg spread trading, optimizing capital efficiency and mitigating systemic risk.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-request-for-quote-protocol-high-fidelity-execution-market-microstructure-intelligence-layer.jpg)

Pre-hedging in RFQs is a market integrity risk because it leaks client intent, causing adverse price moves before a quote is provided.

- 
### [Does the FX Global Code Provide Sufficient Guidance on the Fair Use of Last Look?](https://options.greeks.live/question/does-the-fx-global-code-provide-sufficient-guidance-on-the-fair-use-of-last-look/)
![Abstract geometric planes and light symbolize market microstructure in institutional digital asset derivatives. A central node represents a Prime RFQ facilitating RFQ protocols for high-fidelity execution and atomic settlement, optimizing capital efficiency across diverse liquidity pools and managing counterparty risk.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-intelligence.jpg)

The FX Global Code provides a framework for fair last look, but its sufficiency depends on market participants' commitment to transparency.

- 
### [How Can an Institution Quantify the Financial Impact of Unfair Last Look Behavior on Its Portfolio?](https://options.greeks.live/question/how-can-an-institution-quantify-the-financial-impact-of-unfair-last-look-behavior-on-its-portfolio/)
![A polished, dark teal institutional-grade mechanism reveals an internal beige interface, precisely deploying a metallic, arrow-etched component. This signifies high-fidelity execution within an RFQ protocol, enabling atomic settlement and optimized price discovery for institutional digital asset derivatives and multi-leg spreads, ensuring minimal slippage and robust capital efficiency.](https://options.greeks.live/wp-content/uploads/2025/08/quantitative-finance-driven-rfq-workflow-for-best-execution-in-digital-assets.jpg)

Quantifying the financial impact of last look requires a systematic analysis of rejection costs, hold times, and asymmetric slippage.

- 
### [What Are the Legal and Regulatory Implications of Systematically Quantifying Unfair Last Look Practices?](https://options.greeks.live/question/what-are-the-legal-and-regulatory-implications-of-systematically-quantifying-unfair-last-look-practices/)
![Abstract dual-cone object reflects RFQ Protocol dynamism. It signifies robust Liquidity Aggregation, High-Fidelity Execution, and Principal-to-Principal negotiation. Essential for Crypto Derivatives OS Block Trades, ensuring Atomic Settlement and Volatility Surface integrity.](https://options.greeks.live/wp-content/uploads/2025/08/institutional-grade-rfq-execution-framework-for-digital-asset-derivatives-optimal-liquidity-aggregation-and-atomic-settlement.jpg)

Systematically quantifying unfair last look practices creates the empirical evidence required for legal action and regulatory enforcement.

- 
### [What Are the Primary Technological Changes Liquidity Providers Must Implement to Comply with Principle 17?](https://options.greeks.live/question/what-are-the-primary-technological-changes-liquidity-providers-must-implement-to-comply-with-principle-17/)
![A symmetrical, multi-faceted geometric structure, a Prime RFQ core for institutional digital asset derivatives. Its precise design embodies high-fidelity execution via RFQ protocols, enabling price discovery, liquidity aggregation, and atomic settlement within market microstructure.](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-institutional-digital-asset-options-rfq-engine.jpg)

Principle 17 necessitates architecting trading systems for auditable transparency and symmetrical, deterministic trade acceptance logic.

- 
### [What Is the Role of Last Look in RFQ Protocols and How Does It Affect Execution Certainty?](https://options.greeks.live/question/what-is-the-role-of-last-look-in-rfq-protocols-and-how-does-it-affect-execution-certainty/)
![A proprietary Prime RFQ platform featuring extending blue/teal components, representing a multi-leg options strategy or complex RFQ spread. The labeled band 'F331 46 1' denotes a specific strike price or option series within an aggregated inquiry for high-fidelity execution, showcasing granular market microstructure data points.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-protocol-1.jpg)

Last look is an LP risk control that grants a final trade rejection option, creating a direct trade-off with taker execution certainty.

---

## Raw Schema Data

```json
{
    "@context": "https://schema.org",
    "@type": "BreadcrumbList",
    "itemListElement": [
        {
            "@type": "ListItem",
            "position": 1,
            "name": "Home",
            "item": "https://options.greeks.live"
        },
        {
            "@type": "ListItem",
            "position": 2,
            "name": "Question",
            "item": "https://options.greeks.live/question/"
        },
        {
            "@type": "ListItem",
            "position": 3,
            "name": "How Does the FX Global Code Specifically Address Information Leakage during the Last Look Window?",
            "item": "https://options.greeks.live/question/how-does-the-fx-global-code-specifically-address-information-leakage-during-the-last-look-window/"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Organization",
    "@id": "https://greeks.live/#organization",
    "name": "Greeks.Live",
    "url": "https://greeks.live/",
    "description": "Greeks.live is the definitive toolkit for the professional options trader, dedicated to empowering our users with institutional-grade data, advanced analytics, and a comprehensive suite of trading tools designed to provide a decisive edge in the market. Every article and guide published under the Greeks.live name is a product of our deep commitment to data-driven analysis and our mission to support the global trading community.",
    "email": "support@greeks.live",
    "logo": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/Greeks.Live-Logo-Icon.svg"
    },
    "hasPart": [
        {
            "@type": "WebSite",
            "name": "About Us",
            "url": "https://about.greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "App Download Page",
            "url": "https://about.greeks.live/#/download/basic_trade"
        },
        {
            "@type": "WebSite",
            "name": "Newcomers' Guide",
            "url": "https://twisty-sign-c8b.notion.site/Guide-for-Greeks-live-X-Deribit-Newbies-5a08a3052822427d800af6eaf3704c8d"
        },
        {
            "@type": "WebSite",
            "name": "Knowledge Base",
            "url": "https://linktr.ee/greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "Option Terminology",
            "url": "https://greekslive.notion.site/88dfc00e7c584d4d8969b6302a79a12f?pvs=4"
        },
        {
            "@type": "WebSite",
            "name": "Terms of Service",
            "url": "https://greeks.live/#/tos"
        },
        {
            "@type": "WebSite",
            "name": "Disclaimer",
            "url": "https://greeks.live/#/disclaimer"
        }
    ],
    "sameAs": [
        "https://x.com/greekslive",
        "https://youtube.com/@greeks_live?si=-KjT0Lkw4WUCI0tD",
        "https://t.me/greekslive_notifications",
        "https://t.me/greekslive",
        "https://pinterest.com/greekslive/"
    ],
    "makesOffer": [
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "RFQ Platform",
                "url": "https://rfq.greeks.live",
                "description": "Execute institutional-grade block trades for crypto options and futures. This platform provides deep, over-the-counter (OTC) liquidity via a professional Request for Quote system.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Lending Tools",
                "url": "https://lend.greeks.live",
                "description": "Manage crypto lending and borrowing activities to earn yield or secure loans. This suite of tools helps users analyze interest rates and manage collateralized debt positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Data Lab",
                "url": "https://greeks.live/#/deribit/tools/datalab/BTC",
                "description": "Analyze historical and real-time options data with advanced metrics. This tool is designed for backtesting strategies and identifying market trends through comprehensive data visualization.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Profit & Loss Analysis (PnL)",
                "url": "https://greeks.live/#/deribit/tools/pnl_analysis",
                "description": "Track and analyze the Profit and Loss (PnL) of your options portfolio. This tool provides detailed performance metrics to help traders evaluate and refine their strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Position Visualization",
                "url": "https://greeks.live/#/deribit/tools/pv/BTC",
                "description": "Visualize complex options positions and their corresponding risk profiles. This tool generates payoff diagrams to help traders intuitively understand potential profit, loss, and exposure.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Options Calculator",
                "url": "https://greeks.live/#/deribit/tools/calculator",
                "description": "Calculate the theoretical price and risk parameters ('the Greeks') of crypto options. An essential tool for pricing new trades and analyzing the sensitivity of existing positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live Main Platform",
                "url": "https://greeks.live/",
                "description": "The central hub for the Greeks.live suite of professional cryptocurrency options and derivatives trading tools. Access analytics, manage positions, and explore the ecosystem.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Community Forum",
                "url": "https://t.greeks.live",
                "description": "Join the official Greeks.live community. Connect with other traders, share insights, and receive the latest updates directly from the team.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for Deribit",
                "url": "http://deribit.greeks.live",
                "description": "A dedicated interface for trading on the Deribit exchange. This platform leverages Greeks.live's advanced analytics and tools specifically for users of Deribit's options and futures markets.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for OKX",
                "url": "http://okx.greeks.live",
                "description": "A dedicated interface for trading on the OKX exchange. This platform integrates Greeks.live's powerful analytics with the OKX marketplace, focusing on its options and derivatives products.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "GLVS.AI Trading Platform",
                "url": "https://www.glvs.ai/",
                "description": "An AI-powered platform for automated crypto options trading. Leverage advanced algorithms and data-driven signals to develop and deploy sophisticated, hands-free trading strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "API Testnet & Sandbox",
                "url": "https://test.greeks.live",
                "description": "A dedicated testnet environment for developers to test their API integrations and automated trading strategies. This sandbox allows for full functionality testing without risking real funds.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        }
    ],
    "subOrganization": [
        {
            "@type": "Organization",
            "name": "GreeksLive HK Co., Limited",
            "email": "support@greeks.live",
            "telephone": "+852-56418949",
            "address": {
                "@type": "PostalAddress",
                "streetAddress": "Unit 11, 27/F, K. Wah Centre, 191 Java Road",
                "addressLocality": "Hong Kong",
                "addressRegion": "North Point",
                "addressCountry": "CN",
                "postalCode": "0000"
            },
            "geo": {
                "@type": "GeoCoordinates",
                "latitude": "22.2932357",
                "longitude": "114.2022026"
            },
            "image": "https://options.greeks.live/wp-content/uploads/2025/08/Wah-Centre-Hong-Kong.jpg"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Article",
    "mainEntityOfPage": {
        "@type": "WebPage",
        "@id": "https://options.greeks.live/question/how-does-the-fx-global-code-specifically-address-information-leakage-during-the-last-look-window/"
    },
    "headline": "How Does the FX Global Code Specifically Address Information Leakage during the Last Look Window? \u25b4 Question",
    "description": "The FX Global Code addresses last look information leakage by mandating transparency and prohibiting trading on client request data, reframing it as a pure risk control. \u25b4 Question",
    "url": "https://options.greeks.live/question/how-does-the-fx-global-code-specifically-address-information-leakage-during-the-last-look-window/",
    "datePublished": "2025-08-13T21:41:51+00:00",
    "dateModified": "2025-08-13T21:41:53+00:00",
    "articleSection": [
        "Question"
    ],
    "author": {
        "@id": "https://greeks.live/#organization"
    },
    "publisher": {
        "@id": "https://greeks.live/#organization"
    },
    "image": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-flow.jpg",
        "caption": "This abstract composition illustrates the intricate market microstructure of institutional digital asset derivatives trading, specifically via RFQ protocols. A precision probe signifies algorithmic trading and smart order routing optimizing price discovery across diverse liquidity pools, including dark pools. The speckled surface represents dynamic volatility surface data and order book dynamics, crucial for achieving best execution and mitigating slippage. This highlights the Prime RFQ intelligence layer, facilitating atomic settlement and maximizing capital efficiency for complex multi-leg spread strategies and portfolio margin optimization."
    },
    "keywords": [
        "Confidential Information",
        "Execution Quality",
        "FX Global Code",
        "Global Foreign Exchange Committee",
        "Information Leakage",
        "Last Look",
        "Last Look Window",
        "Liquidity Provider",
        "Market Microstructure",
        "Pre-Hedging",
        "Principle 17",
        "Risk Control",
        "Trade Rejection Analysis",
        "Transparency in Trading"
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "WebSite",
    "url": "https://options.greeks.live/",
    "potentialAction": {
        "@type": "SearchAction",
        "target": "https://options.greeks.live/?s=search_term_string",
        "query-input": "required name=search_term_string"
    }
}
```


---

**Original URL:** https://options.greeks.live/question/how-does-the-fx-global-code-specifically-address-information-leakage-during-the-last-look-window/
