Before starting development on the back office system, a Trading Member needs to sign legal contracts with TFX.
TFX will release documents ⁄ specifications required for system development including the following:
∗ CLIP: stands for CLEARING INTERFACE PROTOCOL which acts as an interface between the TFX Clearing Host and the back-office system of trading member.
A Trading member needs to apply and install necessary infrastructure to access the test environment (for conformance testing) and the production environment.
After completing systems development, conformance tests will begin.
Upon successful completion of the conformance tests, a notification will be sent to the Trading Member.
Before putting the developed system into operation, however, a Trading Member needs to take and pass a Market Entry Test (MET) in the Test Environment.
Trading Members are able to develop their own proprietary Back Office Systems either in-house or by subcontracting (such as ISVs). Even in the latter case, a Trading Member will be the main party to contracts, applications, and communications with the exchange i.e. TFX will neither take inquiries from nor disclose any information to a subcontractor directly