Trading Lab of the Chair of Business Administration, especially e-Finance
Some of our most essential research and teaching activities take place in the trading lab. Accommodated at the universities premises (room 2.202, RuW), the infrastructure includes all major components of a trading room as it can be found in a bank or a broker’s business. Not only does it provide an opportunity for live simulation, but it is also a place for experimental studies of various trading- and analysis activities in electronic financial markets.
The trading lab offers technical equipment for 20 persons. Thus by conducting experiments, field tests can be realized with a relevant group of participants, for example experiments about the applicability and efficiency of newly developed theoretical concepts or methods. A considerable amount of the infrastructure of the trading lab comes from a grant of IBM Germany (IBM Shared University Research Grant 2007).
In the trading lab a variety of different applications are available, such as the order management system FrontArena developed by SunGard or the link-up to the simulation environment of the trading system Xetra of Deutsche Börse AG. Beyond the application in research, the trading lab is also used as part of student education.
The teaching concept aims to enable students to practically experience the interaction of market participants and the effects of these interactions on price determination, liquidity and trading results. The use of new innovative teaching modules and modern media allows students to test their own actions and strategies in an environment similar to that of a professional trader. This innovative e-learning concept was realized by the trading simulation software LiveX, which is not only used as an excellent tool to improve teaching at the Chair but also by many renowned financial institutions and universities.