How Finterion Works

Finterion is a marketplace that connects investors with algorithmic trading bots. This guide explains the core concepts and how everything fits together.

The Big Picture

┌─────────────┐     ┌─────────────┐     ┌─────────────┐
│   Investor  │────▶│  Finterion  │────▶│   Broker/   │
│             │     │  Platform   │     │  Exchange   │
└─────────────┘     └─────────────┘     └─────────────┘
       │                   │                   │
       │                   │                   │
       ▼                   ▼                   ▼
   Subscribe to      Executes bot         Holds your
   trading bots       strategies           assets

Key Components

1. Trading Bots

Trading bots are automated strategies created by developers. Each bot:

• Has a specific trading strategy (momentum, mean reversion, etc.)
• Targets specific assets (stocks, crypto, forex)
• Has a verified performance track record
• Operates within defined risk parameters

2. Portfolios

A portfolio is your container for investments:

• Connected to one broker/exchange account
• Can have one or multiple trading bots
• Tracks all positions, orders, and trades
• Shows aggregated performance metrics

3. Subscriptions

When you subscribe to a trading bot:

• The bot gains permission to trade on your behalf
• You pay a subscription fee (monthly or performance-based)
• The bot executes its strategy in your portfolio
• You maintain full control and can cancel anytime

4. Broker Connections

Finterion connects to your existing broker via API:

• Read Access: View positions and account data
• Trade Access: Execute buy/sell orders
• No Withdrawal Access: We cannot move funds out

How Trades Execute

When a trading bot decides to make a trade:

1. Signal Generated: The bot's algorithm generates a trading signal
2. Risk Check: Finterion validates the trade against risk limits
3. Order Sent: The order is sent to your broker via API
4. Execution: Your broker executes the trade
5. Confirmation: Finterion records the trade in your portfolio
6. Notification: You receive a notification (if enabled)

Transparency

Every action is tracked and visible:

• All trades are recorded with timestamps
• Performance metrics are calculated in real-time
• Historical data is available for analysis
• Audit trails for all bot activity

Risk Management

Finterion provides multiple layers of protection:

Feature	Description
Position Limits	Maximum allocation per position
Daily Loss Limits	Stop trading if losses exceed threshold
Drawdown Protection	Automatic pause on significant drawdowns
Manual Override	You can always close positions manually

Pricing Models

Bots can use different pricing models:

Subscription-Based

• Fixed monthly fee
• Access to the bot's strategy
• No performance fees

Performance-Based

• Lower or no base fee
• Percentage of profits
• High-water mark protection

Getting Started

Ready to start? Follow our Quick Start Guide to:

1. Create your account
2. Connect your broker
3. Subscribe to your first bot

Verification & Risk Management

Verification is critical for trust in a strategy marketplace. Every strategy passes a multi-step audit before listing. Finterion provides transparent risk management tools so you always stay in control.

• Every strategy undergoes independent verification before being listed
• Backtest results are reproduced and validated against out-of-sample data
• Risk parameters (max drawdown, position sizing, stop-losses) are clearly documented
• Real-time monitoring with alerts when strategies deviate from expected behavior
• You can pause or disconnect any strategy at any time

Learn More

• Trading Bots - Deep dive into how bots work
• Portfolios - Managing your portfolios
• Security - How we protect your data