Technology

We develop technology platforms and apps for use in experimental research, policy making and commercial use.

Many of our experiments involve laboratory financial markets. This requires unique software. Not only do markets have to be fast and smooth, they should be intuitive, and flexible to set up.

Flex-E-Markets accomplishes this. Flex-E-Markets is a self-contained software that allows you to create and manage online double-sided markets on the fly. Traders log into your markets over the internet using a javascript-enabled browser. You determine who can access the marketplaces you organize. When markets close, Flex-E-Markets prints reports for each individual trader, as well as a report for you, the market creator, that contains the entire order and trade flow for all markets.

With Flex-E-Markets, you can set up your own miniature versions of NYSE-Euronext, NASDAQ, ICE, etc. Indeed, the trading interface works like any advanced electronic exchange in the world. Only, it’s simpler to use. And YOU are in control: you determine what is traded, when and how trade takes place, and you determine who is allowed into the marketplace.

Flex-E-Markets allows you to experiment with new designs. Like putting a private “over the counter” market alongside a centralized, public one. You may be interested in experimenting with new securities designs; Flex-E-Markets provides the tool. Or playing with short-sale constraints; adding a tax to each trade; auctioning securities while allowing “grey markets” for delivery after securities are allocated. And of course, you can readily set up “prediction markets” even if it’s only meant for you and your friends to bet on who will win the next World Cup. One market for each team.

The Flex-E-Markets server runs on JSP, with a mysql database in the background. It comes either in the form of a war file for deployment in tomcat, and sql code to set up the database in mysql, or one can download bundled software that makes your computer the server (the package bundles tomcat with a database management program). In either case, the market creator as well as market participants access the server through a javascript-enabled browser. The bundled version is meant for market creators who have no experience with server technology.

Interested in Flex-E-Markets? Go to the official website.