for the
DEMO-2026-001
Revision: v2.0
Date: 2026-10-06
Version | Date | Description | Changes |
|---|---|---|---|
| 2.0 | 2026-10-06 | Restructured report. | 7 added, 19 modified |
| 1.1 | 2026-01-21 | Non-functional SysML changes. | 1 modified |
| 1.0 | 2025-11-10 | Initial version | 32 added |
This document lists the requirements of the algorithmic trading platform, the methods by which each one is verified and its close-out status. This issue records the verification of Release v1.0.0.
The document is generated from the SysML v2 model of the system. Requirements, traceability and verdicts are as recorded in the model at the time of issue.
The requirements included in this document drive the development of the Algorithmic Trading System and ensure that the final deliverable aligns with regulatory compliance, risk management needs, and trading performance objectives. This document serves as a foundation for system design, development, testing, and validation.
The regulations and standards the requirements trace to:
Document | Title | Version | Cited by |
|---|---|---|---|
| MiFID-II | Markets in Financial Instruments Directive II | 2018 | STKR-EXEC-002, STKR-COMP-002, SYS-COMP-001, SYS-COMP-004 |
| SEC-Rule-15c3-5 | SEC Market Access Rule | 2010 | STKR-EXEC-002, STKR-RISK-003 |
| FINRA-Rules | FINRA Algorithmic Trading Rules | STKR-EXEC-002, STKR-COMP-003 | |
| Regulation-NMS | Regulation National Market System | STKR-EXEC-002, STKR-COMP-004 |
Every test case verifies its requirement by one or more of four methods:
Each test case follows one of the verification approaches below, which fixes its methods and the environment it runs in:
Approach | Methods | Environment | Description |
|---|---|---|---|
| Decomposed | Analysis | The verification definition is decomposed into smaller ones based on the requirement decomposition. | |
| RequiresValidation | Analysis | Direct verification of the requirement is not possible in test environments and requires validation through live trading or extended operational monitoring. | |
| UsesBacktest | Test, Analysis | Market Simulator | The requirement is verified using historical market data replay with realistic execution simulation including slippage, market impact, and latency modeling. Common frameworks include backtrader, vectorbt, or custom simulation engines. |
| UsesExchangeSimulator | Test | Exchange Test Environment | The requirement is verified in exchange test environments that simulate production matching engines and FIX/binary protocol implementations. May include exchange-provided simulators or third-party tools like QuickFIX. |
| UsesLatencyBenchmark | Test | Production-like Staging | The requirement is verified using precision timing measurements with hardware timestamping or kernel-level instrumentation. Latency is measured at percentiles (50th, 99th, 99.9th) under realistic load conditions. |
| UsesLoadTest | Test, Analysis | Production-like Staging | The requirement is verified by generating sustained high-volume message traffic to validate throughput capacity, queueing behavior, and system stability under peak load. Uses specialized load generation tools or custom harnesses. |
| UsesIntegrationTest | Test | Market Simulator | The requirement is verified through automated integration tests that validate component interactions, data flows, and end-to-end scenarios. May use testing frameworks like pytest, unittest, or custom test harnesses. |
| UsesManualTest | Demonstration | The requirement is verified by human testers performing specified procedures and validating outcomes. Used for UI/UX validation, operational procedures, and scenarios difficult to automate. | |
| UsesComplianceAudit | Inspection, Analysis | Auditor | The requirement is verified through audit of regulatory reporting outputs, audit trail completeness, and data integrity. May involve compliance consultants or third-party audit firms validating against regulatory requirements (MiFID II, SEC Rule 15c3-5, etc.). |
| UsesFailoverTest | Test, Analysis | Production-like Staging | The requirement is verified by simulating component failures and validating failover behavior, recovery procedures, and business continuity mechanisms. Includes chaos engineering approaches. |
Compliance audits review the audit records of the system under verification rather than running in a test environment.
Environment | Description |
|---|---|
| Exchange Test Environment | Exchange-provided test/certification environment for pre-production validation (e.g., CME Certify, ICE Test, NASDAQ OMX Test). |
| Market Simulator | Market replay environment using historical or synthetic data for functional testing and strategy validation. |
| Production-like Staging | Production-equivalent infrastructure for load testing and final validation before deployment. |
Each requirement ID starts with the prefix of its type:
Prefix | Type | Description |
|---|---|---|
| STKR-EXEC | Trading Firm Requirement | Business objectives of the firm that owns the platform, such as return targets, regulatory standing and loss tolerance. Approved by executive management. |
| STKR-USER | Trading Team Requirement | Needs of the quantitative traders who develop and run strategies: backtesting, deployment, monitoring, intervention and latency. |
| STKR-RISK | Risk Management Requirement | Needs of the risk managers who bound trading exposure: position and loss limits, pre-trade checks and emergency halts. |
| STKR-COMP | Compliance Requirement | Obligations the compliance officer answers for to the regulator: audit trail, regulatory reporting, market abuse surveillance and best execution. |
| SYS-PERF | Performance Requirement | Measurable timing, capacity and availability bounds: latency, throughput and uptime during market hours. |
| SYS-FUNC | Functional Requirement | Capabilities the platform provides: market data handling, order tracking, P&L, historical replay and strategy control. |
| SYS-RISK | Risk Control Requirement | Automatic controls that block or halt trading: order size, position and price checks, duplicate blocking, the kill switch, the daily loss halt and correlation alerts. |
| SYS-COMP | System Compliance Requirement | Records and checks the platform keeps for regulatory compliance: order logging, best execution monitoring, restricted lists, transaction reports and market abuse detection. |
Stakeholder | Description |
|---|---|
| TradingFirm | Financial institution engaged in algorithmic trading activities. Client of the trading platform. |
| QuantitativeTrader | Develops and refines trading strategies using quantitative analysis and backtesting. |
| RiskManager | Monitors and controls trading risk through limits and real-time surveillance. |
| ComplianceOfficer | Ensures regulatory compliance and maintains audit trails for regulatory reporting. |
| TechnologyTeam | Maintains system infrastructure, monitors performance, and handles incident response. |
| ExecutiveManagement | Provides business oversight and makes strategic decisions regarding trading operations. |
| Regulator | Government agency overseeing market integrity (SEC, FINRA, ESMA). |
| Broker | Provides execution and clearing services for trading activities. |
| Exchange | Market infrastructure provider where securities are traded. |
| Investor | Provides capital to the trading firm and expects returns. |
Venue and broker are external parties the system works with. All other roles are stakeholders.
TradingFirm | QuantitativeTrader | RiskManager | ComplianceOfficer | TechnologyTeam | ExecutiveManagement | Regulator | Broker | Exchange | Investor | |
|---|---|---|---|---|---|---|---|---|---|---|
| STKR-EXEC-001 | owner | approver | investor | |||||||
| STKR-EXEC-002 | owner | approver | ||||||||
| STKR-EXEC-003 | owner | approver | ||||||||
| STKR-USER-001 | owner | |||||||||
| STKR-USER-002 | owner | |||||||||
| STKR-USER-003 | owner | |||||||||
| STKR-USER-004 | owner | |||||||||
| STKR-USER-005 | owner | |||||||||
| STKR-RISK-001 | owner | |||||||||
| STKR-RISK-002 | owner | |||||||||
| STKR-RISK-003 | owner | |||||||||
| STKR-RISK-004 | owner | |||||||||
| STKR-RISK-005 | owner | |||||||||
| STKR-COMP-001 | owner | regulator | ||||||||
| STKR-COMP-002 | owner | regulator | ||||||||
| STKR-COMP-003 | owner | regulator | ||||||||
| STKR-COMP-004 | owner | regulator | broker | |||||||
| SYS-PERF-004 | maintainer | |||||||||
| SYS-FUNC-001 | venue | |||||||||
| SYS-FUNC-003 | venue | |||||||||
| SYS-COMP-002 | broker |
Each requirement is satisfied by the platform as a whole or by one of its components, as listed in the Satisfaction matrix.
Component | Type | Description |
|---|---|---|
| platform | Algorithmic Trading Platform | Complete algorithmic trading system integrating market data ingestion, strategy execution, risk management, order execution, and regulatory compliance. |
| marketDataHandler | Market Data Handler | Ingests real-time market data from exchanges, normalizes formats, and distributes to downstream components. |
| strategyEngine | Strategy Engine | Executes trading strategies, analyzes market data, and generates trading signals based on configured algorithms. |
| orderManagement | Order Management System | Creates, routes, modifies, and tracks orders throughout their lifecycle. Maintains order book and state. |
| riskManagement | Risk Management System | Performs pre-trade and post-trade risk checks. Enforces position limits, loss limits, and can halt trading. |
| executionManagement | Execution Management System | Routes approved orders to exchanges and brokers. Implements smart order routing and execution algorithms. |
| compliance | Compliance Module | Ensures regulatory compliance through audit logging, trade surveillance, and regulatory reporting. |
| backtesting | Backtesting Engine | Tests trading strategies on historical market data with realistic execution simulation. |
| monitoring | Monitoring & Alerting | Real-time monitoring of system health, performance metrics, P&L tracking, and alerting on anomalies. |
ID | Requirement | Statement |
|---|---|---|
| STKR-EXEC-001 | Consistent risk-adjusted returns | System shall generate consistent risk-adjusted returns while maintaining regulatory compliance. |
| STKR-EXEC-002 | Financial regulation compliance | System shall comply with all applicable financial regulations including MiFID II and SEC requirements. |
| STKR-EXEC-003 | Catastrophic loss prevention | System shall prevent catastrophic losses through automated risk controls, position monitors, and circuit breakers. |
| STKR-USER-001 | Strategy backtesting | Trading team shall be able to backtest strategies on historical market data with realistic execution simulation. |
| STKR-USER-002 | Strategy deployment | Trading team shall be able to deploy strategies to production with configurable risk parameters. |
| STKR-USER-003 | Real-time strategy monitoring | Trading team shall be able to monitor strategy performance in real-time with P&L tracking. |
| STKR-USER-004 | Strategy halt and modification | Trading team shall be able to halt or modify strategies based on changing market conditions. |
| STKR-USER-005 | Low-latency trading | Trading team shall be able to trade on real-time market data from multiple exchanges with execution speed and availability competitive with other market participants. |
| STKR-RISK-001 | Position limit enforcement | System shall enforce position limits per strategy, instrument, and aggregate portfolio. |
| STKR-RISK-002 | Daily loss limit halt | System shall monitor P&L in real-time and halt trading when daily loss limits are breached. |
| STKR-RISK-003 | Pre-trade risk checks | System shall perform pre-trade risk checks on all orders before submission to exchanges. |
| STKR-RISK-004 | Erroneous order prevention | System shall detect and prevent erroneous orders such as fat-finger errors and duplicate submissions. |
| STKR-RISK-005 | Emergency kill switch | Risk managers shall have access to emergency kill switch to immediately halt all automated trading. |
| STKR-COMP-001 | Immutable audit trail | System shall maintain complete, immutable audit trail of all trading activity with nanosecond timestamps. |
| STKR-COMP-002 | Regulatory reporting | System shall generate regulatory reports compliant with MiFID II transaction reporting and SEC audit trail requirements. |
| STKR-COMP-003 | Market abuse surveillance | System shall monitor trading activity for potential market abuse patterns including wash trades and layering. |
| STKR-COMP-004 | Best execution enforcement | System shall enforce best execution requirements by monitoring execution quality across venues. |
| SYS-PERF-001 | Market data latency | System shall process market data with end-to-end latency less than 1 millisecond from exchange feed to strategy. |
| SYS-PERF-002 | Order submission latency | System shall submit orders with latency less than 1 millisecond from signal generation to exchange. |
| SYS-PERF-003 | Order throughput | System shall handle throughput exceeding 100,000 orders per second. |
| SYS-PERF-004 | Market hours uptime | System shall maintain 99.99% uptime during market hours. |
| SYS-FUNC-001 | Multi-exchange market data ingestion | System shall ingest real-time market data from multiple exchanges simultaneously. |
| SYS-FUNC-002 | Market data normalization | System shall normalize market data across different exchange formats into unified representation. |
| SYS-FUNC-003 | Order lifecycle tracking | System shall track complete order lifecycle including submission, acknowledgment, fills, and cancellations. |
| SYS-FUNC-004 | Real-time P&L calculation | System shall calculate real-time P&L across all positions with mark-to-market pricing. |
| SYS-FUNC-005 | Historical market data replay | System shall replay historical market data through strategies with simulated order execution including slippage and market impact. |
| SYS-FUNC-006 | Strategy deployment with risk parameters | System shall deploy strategies to production with their configured risk parameters applied before the first order is generated. |
| SYS-FUNC-007 | Strategy halt and modification commands | System shall halt or modify a running strategy on operator command. |
| SYS-RISK-001 | Maximum order size limit | System shall enforce maximum order size limits before order submission. |
| SYS-RISK-002 | Maximum position limit | System shall enforce maximum position limits per instrument before accepting new orders. |
| SYS-RISK-003 | Order price deviation check | System shall reject orders with prices beyond configurable percentage from current market price. |
| SYS-RISK-004 | Duplicate order blocking | System shall detect and block duplicate order submissions within configurable time window. |
| SYS-RISK-005 | Kill switch trading halt | System shall halt all trading and cancel pending orders within 100 milliseconds when kill switch activated. |
| SYS-RISK-006 | Strategy correlation alerts | System shall alert risk managers when correlation between strategies exceeds configured thresholds. |
| SYS-RISK-007 | Daily loss limit halt | System shall halt trading when realized and unrealized losses breach the configured daily loss limit. |
| SYS-COMP-001 | Order parameter logging | System shall log all order parameters including timestamps, prices, quantities for regulatory reporting. |
| SYS-COMP-002 | Best execution monitoring | System shall implement best execution monitoring by comparing execution prices against market benchmarks. |
| SYS-COMP-003 | Restricted list enforcement | System shall prevent trading in securities on restricted lists maintained by compliance. |
| SYS-COMP-004 | Transaction report generation | System shall generate MiFID II transaction reports and SEC audit trail records from logged order data. |
| SYS-COMP-005 | Market abuse pattern detection | System shall detect wash trade and layering patterns in trading activity and alert the compliance team. |
Description | System shall generate consistent risk-adjusted returns while maintaining regulatory compliance. |
|---|---|
| Justification | Primary business objective to deliver value to investors while managing operational and regulatory risk. |
| Success criteria | Achieve minimum Sharpe ratio of 2.0 over rolling 12-month periods with zero regulatory violations. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-EXEC-001 |
| Status | Open |
Description | System shall comply with all applicable financial regulations including MiFID II and SEC requirements. |
|---|---|
| Justification | Legal obligation to operate in regulated markets and avoid fines, sanctions, or license revocation. |
| Success criteria | Pass all regulatory audits with no major findings and maintain trading authorization across all target markets. |
| Stakeholders |
|
| Sources | MiFID-II, SEC-Rule-15c3-5, FINRA-Rules, Regulation-NMS |
| Parent requirements | |
| Derived requirements | STKR-COMP-001, STKR-COMP-002, SYS-COMP-003 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-EXEC-002 |
| Status | Closed |
Description | System shall prevent catastrophic losses through automated risk controls, position monitors, and circuit breakers. |
|---|---|
| Justification | Protect firm capital and prevent business-ending losses as seen in historical algorithmic trading failures. |
| Success criteria | Less than 0.1% trading incidents resulting in losses exceeding daily loss limits or requiring manual intervention. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | STKR-RISK-001, STKR-RISK-002, STKR-RISK-005, SYS-RISK-006 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-EXEC-003 |
| Status | Open |
Description | Trading team shall be able to backtest strategies on historical market data with realistic execution simulation. |
|---|---|
| Justification | Validate strategy profitability and risk characteristics before deployment to avoid losses from untested algorithms. |
| Success criteria | Backtesting environment produces results within 5% of actual live trading performance over 3-month validation. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-FUNC-005 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-USER-001 |
| Status | Closed |
Description | Trading team shall be able to deploy strategies to production with configurable risk parameters. |
|---|---|
| Justification | Enable rapid strategy iteration and deployment while maintaining risk oversight and control. |
| Success criteria | Strategies deploy to production within 10 minutes with all risk parameters correctly applied and verified. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-FUNC-006 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-USER-002 |
| Status | Closed |
Description | Trading team shall be able to monitor strategy performance in real-time with P&L tracking. |
|---|---|
| Justification | Enables prompt response to performance degradation or changing market conditions to protect capital. |
| Success criteria | P&L updates display with < 1 second latency and dashboards remain accessible during all market conditions. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-FUNC-004 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-USER-003 |
| Status | Closed |
Description | Trading team shall be able to halt or modify strategies based on changing market conditions. |
|---|---|
| Justification | Market conditions change rapidly; manual override capability is essential for risk management. |
| Success criteria | Strategy halt commands execute within 500 milliseconds with confirmation displayed to operator. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-FUNC-007 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-USER-004 |
| Status | Closed |
Description | Trading team shall be able to trade on real-time market data from multiple exchanges with execution speed and availability competitive with other market participants. |
|---|---|
| Justification | Strategy returns depend on acting on market data before prices move. |
| Success criteria | Market data to order submission within 2 milliseconds at the 99th percentile, available throughout market hours on all connected exchanges. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-PERF-001, SYS-PERF-002, SYS-PERF-003, SYS-PERF-004, SYS-FUNC-001, SYS-FUNC-002, SYS-FUNC-003 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-USER-005 |
| Status | Open |
Description | System shall enforce position limits per strategy, instrument, and aggregate portfolio. |
|---|---|
| Justification | Prevent concentration risk and limit exposure to individual instruments or strategies. |
| Success criteria | 100% of orders exceeding position limits are rejected before submission to market. |
| Stakeholders |
|
| Sources | |
| Parent requirements | STKR-EXEC-003 |
| Derived requirements | SYS-RISK-001, SYS-RISK-002 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-RISK-001 |
| Status | Closed |
Description | System shall monitor P&L in real-time and halt trading when daily loss limits are breached. |
|---|---|
| Justification | Cap maximum daily losses to prevent drawdowns that exceed risk tolerance or threaten firm viability. |
| Success criteria | Loss limit breach detection and trading halt occurs within 100 milliseconds. |
| Stakeholders |
|
| Sources | |
| Parent requirements | STKR-EXEC-003 |
| Derived requirements | SYS-FUNC-004, SYS-RISK-007 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-RISK-002 |
| Status | Closed |
Description | System shall perform pre-trade risk checks on all orders before submission to exchanges. |
|---|---|
| Justification | Regulatory requirement and best practice to prevent erroneous orders from reaching market. |
| Success criteria | Pre-trade checks complete with < 50 microseconds latency and 100% of orders are validated before submission. |
| Stakeholders |
|
| Sources | SEC-Rule-15c3-5 |
| Parent requirements | |
| Derived requirements | SYS-RISK-001, SYS-RISK-002, SYS-RISK-003, SYS-RISK-004 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-RISK-003 |
| Status | Closed |
Description | System shall detect and prevent erroneous orders such as fat-finger errors and duplicate submissions. |
|---|---|
| Justification | Prevent costly trading errors that can result in significant losses and market disruption. |
| Success criteria | Detect and reject 100% of orders with quantities >3 standard deviations from historical mean for that strategy. |
| Stakeholders |
|
| Sources | |
| Parent requirements | |
| Derived requirements | SYS-RISK-001, SYS-RISK-003, SYS-RISK-004 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-RISK-004 |
| Status | Closed |
Description | Risk managers shall have access to emergency kill switch to immediately halt all automated trading. |
|---|---|
| Justification | Final safeguard for extreme situations requiring immediate cessation of all trading activity. |
| Success criteria | Kill switch activates within 100 milliseconds and cancels all pending orders. |
| Stakeholders |
|
| Sources | |
| Parent requirements | STKR-EXEC-003 |
| Derived requirements | SYS-RISK-005 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-RISK-005 |
| Status | Closed |
Description | System shall maintain complete, immutable audit trail of all trading activity with nanosecond timestamps. |
|---|---|
| Justification | Required for regulatory audits and post-trade analysis. |
| Success criteria | Audit trail captures 100% of trading events with timestamp accuracy ±100 nanoseconds and zero data loss. |
| Stakeholders |
|
| Sources | |
| Parent requirements | STKR-EXEC-002 |
| Derived requirements | SYS-COMP-001 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-COMP-001 |
| Status | Closed |
Description | System shall generate regulatory reports compliant with MiFID II transaction reporting and SEC audit trail requirements. |
|---|---|
| Justification | Legal obligation for market participants to report trading activity to regulators within specified timeframes. |
| Success criteria | Reports generated daily by T+1 deadline with 100% accuracy and zero regulatory rejections. |
| Stakeholders |
|
| Sources | MiFID-II |
| Parent requirements | STKR-EXEC-002 |
| Derived requirements | SYS-COMP-004 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-COMP-002 |
| Status | Closed |
Description | System shall monitor trading activity for potential market abuse patterns including wash trades and layering. |
|---|---|
| Justification | Prevent market manipulation and ensure compliance with market conduct regulations to avoid penalties. |
| Success criteria | Surveillance system flags 95% of known market abuse patterns with <1% false positive rate. |
| Stakeholders |
|
| Sources | FINRA-Rules |
| Parent requirements | |
| Derived requirements | SYS-COMP-005 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-COMP-003 |
| Status | Closed |
Description | System shall enforce best execution requirements by monitoring execution quality across venues. |
|---|---|
| Justification | Regulatory obligation to obtain best possible execution for client orders and demonstrate due diligence. |
| Success criteria | Execution quality within top quartile of industry benchmarks with documented venue selection rationale. |
| Stakeholders |
|
| Sources | Regulation-NMS |
| Parent requirements | |
| Derived requirements | SYS-COMP-002 |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-STKR-COMP-004 |
| Status | Closed |
Description | System shall process market data with end-to-end latency less than 1 millisecond from exchange feed to strategy. |
|---|---|
| Justification | Low latency is critical for competitive advantage in high-frequency trading and market-making strategies. |
| Success criteria | 99.9th percentile latency measured at <1ms during normal market conditions. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-PERF-001 |
| Status | Closed |
Description | System shall submit orders with latency less than 1 millisecond from signal generation to exchange. |
|---|---|
| Justification | Minimize slippage and maximize probability of execution at desired prices in fast-moving markets. |
| Success criteria | Mean order submission latency <500 microseconds with 99th percentile <1ms measured via hardware timestamps. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-PERF-002 |
| Status | Closed |
Description | System shall handle throughput exceeding 100,000 orders per second. |
|---|---|
| Justification | Support high-frequency strategies and market-making across multiple instruments simultaneously. |
| Success criteria | Sustained throughput of 100,000 orders/second with no message loss and latency degradation <10%. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-PERF-003 |
| Status | Closed |
Description | System shall maintain 99.99% uptime during market hours. |
|---|---|
| Justification | Downtime results in missed trading opportunities and potential failure to meet market-making obligations. |
| Success criteria | Maximum unplanned downtime of 5 minutes per month during trading hours. |
| Stakeholders |
|
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-PERF-004 |
| Status | Open |
Description | System shall ingest real-time market data from multiple exchanges simultaneously. |
|---|---|
| Justification | Access to multiple venues enables arbitrage opportunities and best execution across markets. |
| Success criteria | Simultaneous connection to minimum 5 exchanges with no data gaps >100ms during market hours. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-001 |
| Status | Closed |
Description | System shall normalize market data across different exchange formats into unified representation. |
|---|---|
| Justification | Unified data format simplifies strategy development and enables cross-venue analysis and trading. |
| Success criteria | All supported exchanges mapped to common schema with 100% field accuracy validated against exchange specs. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-002 |
| Status | Closed |
Description | System shall track complete order lifecycle including submission, acknowledgment, fills, and cancellations. |
|---|---|
| Justification | Accurate order state tracking is essential for position management, risk control, and regulatory compliance. |
| Success criteria | Order state transitions tracked with 100% accuracy and reconciliation discrepancies <0.01% of total orders. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-003 |
| Status | Closed |
Description | System shall calculate real-time P&L across all positions with mark-to-market pricing. |
|---|---|
| Justification | Real-time P&L enables intraday risk management and supports loss limit monitoring requirements. |
| Success criteria | P&L calculations update within 100ms of price changes with accuracy ±0.1% vs end-of-day reconciliation. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-003, STKR-RISK-002 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-004 |
| Status | Closed |
Description | System shall replay historical market data through strategies with simulated order execution including slippage and market impact. |
|---|---|
| Justification | Enables strategy validation before production deployment. |
| Success criteria | Backtest results within 5% of live trading performance over a 3-month validation period. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-001 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-005 |
| Status | Open |
Description | System shall deploy strategies to production with their configured risk parameters applied before the first order is generated. |
|---|---|
| Justification | Prevents strategies from trading without their intended risk limits. |
| Success criteria | Strategies deploy within 10 minutes with all risk parameters applied and verified. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-002 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-006 |
| Status | Open |
Description | System shall halt or modify a running strategy on operator command. |
|---|---|
| Justification | Lets traders react to changing market conditions. |
| Success criteria | Strategy halt commands execute within 500 milliseconds with confirmation displayed to operator. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-USER-004 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-FUNC-007 |
| Status | Open |
Description | System shall enforce maximum order size limits before order submission. |
|---|---|
| Justification | Prevent single large orders from causing excessive market impact or unintended exposure. |
| Success criteria | 100% of orders exceeding configured size limits are rejected with detailed error message. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-001, STKR-RISK-003, STKR-RISK-004 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-001 |
| Status | Closed |
Description | System shall enforce maximum position limits per instrument before accepting new orders. |
|---|---|
| Justification | Technical implementation of position limit risk controls derived from stakeholder risk requirements. |
| Success criteria | Position limits checked on every order with <10 microseconds latency and zero bypasses. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-001, STKR-RISK-003 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-002 |
| Status | Closed |
Description | System shall reject orders with prices beyond configurable percentage from current market price. |
|---|---|
| Justification | Prevents erroneous orders from impacting market. |
| Success criteria | 100% of orders priced beyond the configured percentage from current market price are rejected before submission. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-003, STKR-RISK-004 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-003 |
| Status | Closed |
Description | System shall detect and block duplicate order submissions within configurable time window. |
|---|---|
| Justification | Prevent accidental double-fills from software errors or network retransmissions that could double intended exposure. |
| Success criteria | Duplicate detection catches 100% of identical orders within 500ms window with no false positives. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-003, STKR-RISK-004 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-004 |
| Status | Closed |
Description | System shall halt all trading and cancel pending orders within 100 milliseconds when kill switch activated. |
|---|---|
| Justification | Technical implementation of emergency kill switch capability required by risk management stakeholders. |
| Success criteria | Complete trading halt within 100ms with confirmation of all order cancellations received from exchanges. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-005 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-005 |
| Status | Closed |
Description | System shall alert risk managers when correlation between strategies exceeds configured thresholds. |
|---|---|
| Justification | Detect hidden concentration risk from strategies that appear independent but move together. |
| Success criteria | Correlation alerts triggered within 30 seconds of threshold breach with affected strategy pairs identified. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-EXEC-003 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-006 |
| Status | Open |
Description | System shall halt trading when realized and unrealized losses breach the configured daily loss limit. |
|---|---|
| Justification | Caps daily losses at the level approved by risk management. |
| Success criteria | Loss limit breach detection and trading halt occurs within 100 milliseconds. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-RISK-002 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-RISK-007 |
| Status | Open |
Description | System shall log all order parameters including timestamps, prices, quantities for regulatory reporting. |
|---|---|
| Justification | Technical implementation of audit trail requirements for regulatory compliance and investigation support. |
| Success criteria | All mandatory fields per MiFID II/SEC rules logged with zero data loss and tamper-evident storage. |
| Stakeholders | |
| Sources | MiFID-II |
| Parent requirements | STKR-COMP-001 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-COMP-001 |
| Status | Closed |
Description | System shall implement best execution monitoring by comparing execution prices against market benchmarks. |
|---|---|
| Justification | Demonstrate compliance with best execution obligations through objective measurement and documentation. |
| Success criteria | Execution quality metrics calculated for 100% of trades with benchmarks (VWAP, arrival price) within 1 minute. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-COMP-004 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-COMP-002 |
| Status | Closed |
Description | System shall prevent trading in securities on restricted lists maintained by compliance. |
|---|---|
| Justification | Enforce trading restrictions to prevent conflicts of interest, insider trading, and regulatory violations. |
| Success criteria | 100% of orders in restricted securities blocked before submission with alerts to compliance team. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-EXEC-002 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-COMP-003 |
| Status | Closed |
Description | System shall generate MiFID II transaction reports and SEC audit trail records from logged order data. |
|---|---|
| Justification | Regulatory reporting is a legal obligation in all target markets. |
| Success criteria | Reports generated daily by T+1 deadline with 100% accuracy and zero regulatory rejections. |
| Stakeholders | |
| Sources | MiFID-II |
| Parent requirements | STKR-COMP-002 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-COMP-004 |
| Status | Open |
Description | System shall detect wash trade and layering patterns in trading activity and alert the compliance team. |
|---|---|
| Justification | Firms are required to surveil their own trading for market abuse. |
| Success criteria | Surveillance flags 95% of known market abuse patterns with <1% false positive rate. |
| Stakeholders | |
| Sources | |
| Parent requirements | STKR-COMP-003 |
| Derived requirements | |
| Dependency graph |
Satisfied by | |
|---|---|
| Verified by | TEST-SYS-COMP-005 |
| Status | Open |
The procedure and success criteria of each test case are given in Verification execution.
Requirement | Methods | Test case | Environment | Status |
|---|---|---|---|---|
| STKR-EXEC-001 | Analysis, Test | TEST-STKR-EXEC-001 | Open | |
| STKR-EXEC-002 | Analysis | TEST-STKR-EXEC-002 | Closed | |
| STKR-EXEC-003 | Analysis | TEST-STKR-EXEC-003 | Open | |
| STKR-USER-001 | Test, Analysis | TEST-STKR-USER-001 | Market Simulator | Closed |
| STKR-USER-002 | Test | TEST-STKR-USER-002 | Market Simulator | Closed |
| STKR-USER-003 | Test, Analysis | TEST-STKR-USER-003 | Market Simulator | Closed |
| STKR-USER-004 | Demonstration | TEST-STKR-USER-004 | Closed | |
| STKR-USER-005 | Test | TEST-STKR-USER-005 | Production-like Staging | Open |
| STKR-RISK-001 | Test | TEST-STKR-RISK-001 | Market Simulator | Closed |
| STKR-RISK-002 | Test | TEST-STKR-RISK-002 | Production-like Staging | Closed |
| STKR-RISK-003 | Test | TEST-STKR-RISK-003 | Market Simulator | Closed |
| STKR-RISK-004 | Test | TEST-STKR-RISK-004 | Market Simulator | Closed |
| STKR-RISK-005 | Test | TEST-STKR-RISK-005 | Production-like Staging | Closed |
| STKR-COMP-001 | Inspection, Analysis | TEST-STKR-COMP-001 | Auditor | Closed |
| STKR-COMP-002 | Inspection, Analysis | TEST-STKR-COMP-002 | Auditor | Closed |
| STKR-COMP-003 | Test, Analysis | TEST-STKR-COMP-003 | Market Simulator | Closed |
| STKR-COMP-004 | Test, Analysis | TEST-STKR-COMP-004 | Market Simulator | Closed |
| SYS-PERF-001 | Test, Analysis | TEST-SYS-PERF-001 | Production-like Staging | Closed |
| SYS-PERF-002 | Test, Analysis | TEST-SYS-PERF-002 | Production-like Staging | Closed |
| SYS-PERF-003 | Test, Analysis | TEST-SYS-PERF-003 | Production-like Staging | Closed |
| SYS-PERF-004 | Test, Analysis | TEST-SYS-PERF-004 | Production-like Staging | Open |
| SYS-FUNC-001 | Test | TEST-SYS-FUNC-001 | Exchange Test Environment | Closed |
| SYS-FUNC-002 | Test | TEST-SYS-FUNC-002 | Market Simulator | Closed |
| SYS-FUNC-003 | Test | TEST-SYS-FUNC-003 | Exchange Test Environment | Closed |
| SYS-FUNC-004 | Test | TEST-SYS-FUNC-004 | Market Simulator | Closed |
| SYS-FUNC-005 | Test, Analysis | TEST-SYS-FUNC-005 | Market Simulator | Open |
| SYS-FUNC-006 | Test | TEST-SYS-FUNC-006 | Market Simulator | Open |
| SYS-FUNC-007 | Test | TEST-SYS-FUNC-007 | Market Simulator | Open |
| SYS-RISK-001 | Test | TEST-SYS-RISK-001 | Market Simulator | Closed |
| SYS-RISK-002 | Test | TEST-SYS-RISK-002 | Market Simulator | Closed |
| SYS-RISK-003 | Test | TEST-SYS-RISK-003 | Market Simulator | Closed |
| SYS-RISK-004 | Test | TEST-SYS-RISK-004 | Market Simulator | Closed |
| SYS-RISK-005 | Test | TEST-SYS-RISK-005 | Production-like Staging | Closed |
| SYS-RISK-006 | Test | TEST-SYS-RISK-006 | Market Simulator | Open |
| SYS-RISK-007 | Test | TEST-SYS-RISK-007 | Production-like Staging | Open |
| SYS-COMP-001 | Inspection, Analysis | TEST-SYS-COMP-001 | Auditor | Closed |
| SYS-COMP-002 | Test, Analysis | TEST-SYS-COMP-002 | Market Simulator | Closed |
| SYS-COMP-003 | Test | TEST-SYS-COMP-003 | Market Simulator | Closed |
| SYS-COMP-004 | Inspection, Analysis | TEST-SYS-COMP-004 | Auditor | Open |
| SYS-COMP-005 | Test | TEST-SYS-COMP-005 | Market Simulator | Open |
Verdicts are summarized in Close-out status.
Verifies | |
|---|---|
| Approach | RequiresValidation |
| Methods | Analysis, Test |
| Environment | |
| Procedure | Risk-adjusted returns can only be validated through extended live trading. Pre-production verification limited to backtesting and paper trading validation of strategy logic and risk controls. |
| Success criteria | |
| Decomposed into | |
| Verdict | Inconclusive |
Verifies | |
|---|---|
| Approach | Decomposed |
| Methods | Analysis |
| Environment | |
| Procedure | |
| Success criteria | |
| Decomposed into | TEST-STKR-COMP-001, TEST-STKR-COMP-002, TEST-SYS-COMP-003 |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | Decomposed |
| Methods | Analysis |
| Environment | |
| Procedure | |
| Success criteria | |
| Decomposed into | TEST-STKR-RISK-001, TEST-STKR-RISK-002, TEST-STKR-RISK-005, TEST-SYS-RISK-006 |
| Verdict | Inconclusive |
Verifies | |
|---|---|
| Approach | UsesBacktest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify backtesting capability by:
|
| Success criteria | Backtesting engine produces consistent results with realistic fill modeling, handles corporate actions correctly, and generates standard performance analytics. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify strategy deployment by:
|
| Success criteria | Strategies deploy successfully with correct parameter application, risk limits are enforced, and operational controls function as expected. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify monitoring capability by:
|
| Success criteria | P&L calculations match independent verification within 0.01%, monitoring updates occur within 100ms of events, and all positions reconcile correctly. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesManualTest |
| Methods | Demonstration |
| Environment | |
| Procedure | Verify strategy control by:
|
| Success criteria | Strategy controls respond within 100ms, pending orders are handled according to policy, and parameter changes take effect immediately without restarting strategies. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test |
| Environment | Production-like Staging |
| Procedure | Verify low-latency trading by measuring the time from market data receipt to order submission on each connected exchange under realistic message rates during market hours. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify position limit enforcement by:
|
| Success criteria | All orders exceeding configured limits are rejected before market submission, with appropriate logging and alerting. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test |
| Environment | Production-like Staging |
| Procedure | Verify loss limit breach detection by:
|
| Success criteria | Loss limit breaches detected within 100ms (99.9th percentile), all active strategies halt immediately, and no new orders accepted. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify pre-trade risk checks by:
|
| Success criteria | All orders undergo specified pre-trade checks, violations are blocked before exchange submission, and check latency remains within budget (<200μs). |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify erroneous order detection by:
|
| Success criteria | Erroneous orders detected with >99.9% accuracy, false positive rate <0.1%, and detection does not introduce unacceptable latency. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test |
| Environment | Production-like Staging |
| Procedure | Verify kill switch by:
|
| Success criteria | Kill switch activates within 100ms (99.9th percentile), cancels all orders, halts all strategies, and prevents new submissions until explicitly re-enabled. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesComplianceAudit |
| Methods | Inspection, Analysis |
| Environment | Auditor |
| Procedure | Verify audit trail by:
|
| Success criteria | 100% of trading events captured in audit trail with nanosecond timestamps, immutability verified cryptographically, and audit trail passes compliance review. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesComplianceAudit |
| Methods | Inspection, Analysis |
| Environment | Auditor |
| Procedure | Verify regulatory reporting by:
|
| Success criteria | Generated reports validate against regulatory schemas, contain all required fields, meet timeliness requirements, and pass review by compliance consultants. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify trade surveillance by:
|
| Success criteria | Market abuse patterns detected with >95% sensitivity, false positive rate <5%, and alerts generated within configurable time windows. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify best execution monitoring by:
|
| Success criteria | Execution quality metrics collected for 100% of orders, benchmark calculations verified against independent computation, and reports suitable for regulatory review. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test, Analysis |
| Environment | Production-like Staging |
| Procedure | Verify market data latency by:
|
| Success criteria | 99.9th percentile latency <1ms measured from network arrival to strategy data availability under target message rates. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test, Analysis |
| Environment | Production-like Staging |
| Procedure | Verify order submission latency by:
|
| Success criteria | 99th percentile order submission latency <1ms from signal to gateway under normal operating conditions. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLoadTest |
| Methods | Test, Analysis |
| Environment | Production-like Staging |
| Procedure | Verify throughput capacity by:
|
| Success criteria | System sustains >100K orders/second with latency requirements maintained, resource utilization <80%, and no message loss or corruption. |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesFailoverTest |
| Methods | Test, Analysis |
| Environment | Production-like Staging |
| Procedure | Verify availability by:
|
| Success criteria | Failover completes within 5 minutes with no data loss, backup systems activate correctly, and aggregate monthly downtime <5 minutes under simulated failure scenarios. |
| Decomposed into | |
| Verdict | Inconclusive |
Verifies | |
|---|---|
| Approach | UsesExchangeSimulator |
| Methods | Test |
| Environment | Exchange Test Environment |
| Procedure | Verify multi-feed ingestion by connecting to multiple simulated exchange feeds simultaneously and validating data integrity, sequencing, and gap handling for each feed. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify data normalization by ingesting data in multiple exchange formats and validating correct mapping to unified internal representation with all required fields. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesExchangeSimulator |
| Methods | Test |
| Environment | Exchange Test Environment |
| Procedure | Verify order lifecycle tracking by submitting orders through exchange simulator and validating state transitions for all scenarios (fills, partial fills, cancels, rejects). |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify P&L calculation by establishing positions through simulated fills, updating prices, and comparing computed P&L against independent verification for various scenarios (long, short, multi-leg, cross-currency). |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesBacktest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify historical market data replay by backtesting strategies over a period they also traded live and comparing backtest results against live trading performance. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify strategy deployment by deploying strategies with configured risk parameters and validating that all parameters are applied before the first order is generated. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify strategy commands by issuing halt and modification commands to running strategies and measuring the time to operator confirmation. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify order size limits through automated testing of rejection behavior for oversized orders. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify position limits through automated testing of position accumulation and limit enforcement. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify price collar checks through automated testing of orders with prices outside acceptable ranges relative to current market. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify duplicate order detection through automated testing of intentional duplicate submissions within detection window. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test |
| Environment | Production-like Staging |
| Procedure | Verify kill switch latency through precision timing measurement of activation to complete trading halt. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify correlation alerts through automated testing of strategy pairs whose correlation is driven above configured thresholds, checking alert timing and the reported pairs. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesLatencyBenchmark |
| Methods | Test |
| Environment | Production-like Staging |
| Procedure | Verify daily loss limit halt through precision timing measurement of limit breach to complete trading halt. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesComplianceAudit |
| Methods | Inspection, Analysis |
| Environment | Auditor |
| Procedure | Verify audit logging through review of log completeness, attribute presence, and format compliance for regulatory reporting. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test, Analysis |
| Environment | Market Simulator |
| Procedure | Verify best execution monitoring through automated testing of benchmark calculations and report generation. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify restricted list enforcement through automated testing of order rejection for restricted securities. |
| Success criteria | |
| Decomposed into | |
| Verdict | Pass |
Verifies | |
|---|---|
| Approach | UsesComplianceAudit |
| Methods | Inspection, Analysis |
| Environment | Auditor |
| Procedure | Verify transaction reporting through review of generated MiFID II transaction reports and SEC audit trail records against regulatory schemas and the T+1 deadline. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
Verifies | |
|---|---|
| Approach | UsesIntegrationTest |
| Methods | Test |
| Environment | Market Simulator |
| Procedure | Verify market abuse surveillance through automated testing with simulated wash trade and layering patterns. |
| Success criteria | |
| Decomposed into | |
| Verdict | Not run |
A requirement is closed when every test case that verifies it passes.
Status | Requirements |
|---|---|
| Open | 11 |
| Closed | 29 |
Verdict | Test cases |
|---|---|
| Inconclusive | 3 |
| Pass | 29 |
| Not run | 8 |
Test case | Requirement | Verdict | Notes |
|---|---|---|---|
| TEST-STKR-EXEC-001 | STKR-EXEC-001 | Inconclusive | Risk-adjusted returns validation requires extended live trading period. Pre-production verification completed through:
Full validation postponed pending 6-month live trading period. |
| TEST-STKR-EXEC-003 | STKR-EXEC-003 | Inconclusive | Catastrophic loss prevention verified through:
|
| TEST-STKR-USER-005 | STKR-USER-005 | Not run | |
| TEST-SYS-PERF-004 | SYS-PERF-004 | Inconclusive | Availability partially verified:
|
| TEST-SYS-FUNC-005 | SYS-FUNC-005 | Not run | |
| TEST-SYS-FUNC-006 | SYS-FUNC-006 | Not run | |
| TEST-SYS-FUNC-007 | SYS-FUNC-007 | Not run | |
| TEST-SYS-RISK-006 | SYS-RISK-006 | Not run | |
| TEST-SYS-RISK-007 | SYS-RISK-007 | Not run | |
| TEST-SYS-COMP-004 | SYS-COMP-004 | Not run | |
| TEST-SYS-COMP-005 | SYS-COMP-005 | Not run |
Test case | Requirement | Verdict | Result |
|---|---|---|---|
| TEST-STKR-EXEC-001 | STKR-EXEC-001 | Inconclusive | Risk-adjusted returns validation requires extended live trading period. Pre-production verification completed through:
Full validation postponed pending 6-month live trading period. |
| TEST-STKR-EXEC-002 | STKR-EXEC-002 | Pass | Regulatory compliance verified through:
|
| TEST-STKR-EXEC-003 | STKR-EXEC-003 | Inconclusive | Catastrophic loss prevention verified through:
|
| TEST-STKR-USER-001 | STKR-USER-001 | Pass | Backtesting capability verified:
|
| TEST-STKR-USER-002 | STKR-USER-002 | Pass | Strategy deployment verified:
|
| TEST-STKR-USER-003 | STKR-USER-003 | Pass | Real-time monitoring verified:
|
| TEST-STKR-USER-004 | STKR-USER-004 | Pass | Strategy control verified:
|
| TEST-STKR-USER-005 | STKR-USER-005 | Not run | |
| TEST-STKR-RISK-001 | STKR-RISK-001 | Pass | Position limit enforcement verified:
|
| TEST-STKR-RISK-002 | STKR-RISK-002 | Pass | Loss limit breach detection verified:
|
| TEST-STKR-RISK-003 | STKR-RISK-003 | Pass | Pre-trade risk checks verified:
|
| TEST-STKR-RISK-004 | STKR-RISK-004 | Pass | Erroneous order detection verified:
|
| TEST-STKR-RISK-005 | STKR-RISK-005 | Pass | Emergency kill switch verified:
|
| TEST-STKR-COMP-001 | STKR-COMP-001 | Pass | Audit trail verified:
|
| TEST-STKR-COMP-002 | STKR-COMP-002 | Pass | Regulatory reporting verified:
|
| TEST-STKR-COMP-003 | STKR-COMP-003 | Pass | Trade surveillance verified:
|
| TEST-STKR-COMP-004 | STKR-COMP-004 | Pass | Best execution monitoring verified:
|
| TEST-SYS-PERF-001 | SYS-PERF-001 | Pass | Market data latency verified:
|
| TEST-SYS-PERF-002 | SYS-PERF-002 | Pass | Order submission latency verified:
|
| TEST-SYS-PERF-003 | SYS-PERF-003 | Pass | Throughput capacity verified:
|
| TEST-SYS-PERF-004 | SYS-PERF-004 | Inconclusive | Availability partially verified:
|
| TEST-SYS-FUNC-001 | SYS-FUNC-001 | Pass | Multi-feed ingestion verified:
|
| TEST-SYS-FUNC-002 | SYS-FUNC-002 | Pass | Data normalization verified:
|
| TEST-SYS-FUNC-003 | SYS-FUNC-003 | Pass | Order lifecycle tracking verified:
|
| TEST-SYS-FUNC-004 | SYS-FUNC-004 | Pass | P&L calculation verified:
|
| TEST-SYS-FUNC-005 | SYS-FUNC-005 | Not run | |
| TEST-SYS-FUNC-006 | SYS-FUNC-006 | Not run | |
| TEST-SYS-FUNC-007 | SYS-FUNC-007 | Not run | |
| TEST-SYS-RISK-001 | SYS-RISK-001 | Pass | Order size limits verified:
|
| TEST-SYS-RISK-002 | SYS-RISK-002 | Pass | Position limits verified:
|
| TEST-SYS-RISK-003 | SYS-RISK-003 | Pass | Price collar checks verified:
|
| TEST-SYS-RISK-004 | SYS-RISK-004 | Pass | Duplicate order detection verified:
|
| TEST-SYS-RISK-005 | SYS-RISK-005 | Pass | Kill switch latency verified:
|
| TEST-SYS-RISK-006 | SYS-RISK-006 | Not run | |
| TEST-SYS-RISK-007 | SYS-RISK-007 | Not run | |
| TEST-SYS-COMP-001 | SYS-COMP-001 | Pass | Audit logging verified:
|
| TEST-SYS-COMP-002 | SYS-COMP-002 | Pass | Best execution monitoring verified:
|
| TEST-SYS-COMP-003 | SYS-COMP-003 | Pass | Restricted list enforcement verified:
|
| TEST-SYS-COMP-004 | SYS-COMP-004 | Not run | |
| TEST-SYS-COMP-005 | SYS-COMP-005 | Not run |
Each mark (↗) shows that the stakeholder requirement in the row derives the system requirement in the column.
| STKR-EXEC-001 | |||||||||||||||||||||||
| STKR-EXEC-002 | ↗ | ||||||||||||||||||||||
| STKR-EXEC-003 | ↗ | ||||||||||||||||||||||
| STKR-USER-001 | ↗ | ||||||||||||||||||||||
| STKR-USER-002 | ↗ | ||||||||||||||||||||||
| STKR-USER-003 | ↗ | ||||||||||||||||||||||
| STKR-USER-004 | ↗ | ||||||||||||||||||||||
| STKR-USER-005 | ↗ | ↗ | ↗ | ↗ | ↗ | ↗ | ↗ | ||||||||||||||||
| STKR-RISK-001 | ↗ | ↗ | |||||||||||||||||||||
| STKR-RISK-002 | ↗ | ↗ | |||||||||||||||||||||
| STKR-RISK-003 | ↗ | ↗ | ↗ | ↗ | |||||||||||||||||||
| STKR-RISK-004 | ↗ | ↗ | ↗ | ||||||||||||||||||||
| STKR-RISK-005 | ↗ | ||||||||||||||||||||||
| STKR-COMP-001 | ↗ | ||||||||||||||||||||||
| STKR-COMP-002 | ↗ | ||||||||||||||||||||||
| STKR-COMP-003 | ↗ | ||||||||||||||||||||||
| STKR-COMP-004 | ↗ |
Each mark (↗) shows that the executive requirement in the row derives the user requirement in the column.
| STKR-EXEC-001 | ||||||||||||||
| STKR-EXEC-002 | ↗ | ↗ | ||||||||||||
| STKR-EXEC-003 | ↗ | ↗ | ↗ |
Satisfaction does not imply verification, which is reported in Close-out status.
marketDataHandler | strategyEngine | orderManagement | riskManagement | executionManagement | compliance | backtesting | monitoring | |
|---|---|---|---|---|---|---|---|---|
| SYS-PERF-001 | ↙ | |||||||
| SYS-PERF-002 | ||||||||
| SYS-PERF-003 | ||||||||
| SYS-PERF-004 | ||||||||
| SYS-FUNC-001 | ↙ | |||||||
| SYS-FUNC-002 | ↙ | |||||||
| SYS-FUNC-003 | ↙ | |||||||
| SYS-FUNC-004 | ↙ | |||||||
| SYS-FUNC-005 | ↙ | |||||||
| SYS-FUNC-006 | ↙ | |||||||
| SYS-FUNC-007 | ↙ | |||||||
| SYS-RISK-001 | ↙ | |||||||
| SYS-RISK-002 | ↙ | |||||||
| SYS-RISK-003 | ↙ | |||||||
| SYS-RISK-004 | ↙ | |||||||
| SYS-RISK-005 | ↙ | |||||||
| SYS-RISK-006 | ↙ | |||||||
| SYS-RISK-007 | ↙ | |||||||
| SYS-COMP-001 | ↙ | |||||||
| SYS-COMP-002 | ↙ | |||||||
| SYS-COMP-003 | ↙ | |||||||
| SYS-COMP-004 | ↙ | |||||||
| SYS-COMP-005 | ↙ |
TEST-STKR-EXEC-001 | TEST-STKR-EXEC-002 | TEST-STKR-EXEC-003 | TEST-STKR-USER-001 | TEST-STKR-USER-002 | TEST-STKR-USER-003 | TEST-STKR-USER-004 | TEST-STKR-USER-005 | TEST-STKR-RISK-001 | TEST-STKR-RISK-002 | TEST-STKR-RISK-003 | TEST-STKR-RISK-004 | TEST-STKR-RISK-005 | TEST-STKR-COMP-001 | TEST-STKR-COMP-002 | TEST-STKR-COMP-003 | TEST-STKR-COMP-004 | TEST-SYS-PERF-001 | TEST-SYS-PERF-002 | TEST-SYS-PERF-003 | TEST-SYS-PERF-004 | TEST-SYS-FUNC-001 | TEST-SYS-FUNC-002 | TEST-SYS-FUNC-003 | TEST-SYS-FUNC-004 | TEST-SYS-FUNC-005 | TEST-SYS-FUNC-006 | TEST-SYS-FUNC-007 | TEST-SYS-RISK-001 | TEST-SYS-RISK-002 | TEST-SYS-RISK-003 | TEST-SYS-RISK-004 | TEST-SYS-RISK-005 | TEST-SYS-RISK-006 | TEST-SYS-RISK-007 | TEST-SYS-COMP-001 | TEST-SYS-COMP-002 | TEST-SYS-COMP-003 | TEST-SYS-COMP-004 | TEST-SYS-COMP-005 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| STKR-EXEC-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-EXEC-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-EXEC-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-USER-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-USER-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-USER-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-USER-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-USER-005 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-RISK-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-RISK-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-RISK-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-RISK-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-RISK-005 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-COMP-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-COMP-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-COMP-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| STKR-COMP-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-PERF-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-PERF-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-PERF-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-PERF-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-005 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-006 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-FUNC-007 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-005 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-006 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-RISK-007 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-COMP-001 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-COMP-002 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-COMP-003 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-COMP-004 | ↙ | |||||||||||||||||||||||||||||||||||||||
| SYS-COMP-005 | ↙ |