NDD Glossary
ConceptIntermediate

Composite Liquidity

A blended liquidity stream constructed by aggregating quotes from multiple liquidity providers into a single unified feed.

Last updated: February 1, 2026
1

Multiple liquidity providers stream real-time quotes to the broker's aggregation engine.

2

The engine combines (composites) the best bid and ask prices from all providers.

3

The resulting composite stream offers tighter effective spreads than any single LP.

4

Client orders are executed against this blended liquidity pool.

5

The composite approach provides deeper effective market depth for larger orders.