**Trading operations** refer to the behind-the-scenes processes that support the execution, confirmation, settlement, and record-keeping of trades in financial markets. While traders focus on buying and selling assets like stocks, bonds, or currencies, trading operations ensure those transactions are processed smoothly, accurately, and compliantly.

This function is often handled by a **trading operations team** within banks, hedge funds, brokerage firms, or asset management companies. Their responsibilities include:

* **Trade capture:** Recording trade details accurately in the system.

* **Trade confirmation:** Verifying trade details with counterparties.

* **Settlement:** Ensuring the timely exchange of assets and payments.

* **Reconciliation:** Matching internal records with external systems to catch and correct errors.

* **Compliance & reporting:** Ensuring trades meet regulatory requirements and are reported correctly.

Trading operations also manage **risk and exposure tracking**, ensuring that portfolios stay within limits and identifying discrepancies quickly. With the rise of algorithmic and high-frequency trading, this function increasingly relies on automation and real-time monitoring tools.

In essence, trading operations are the backbone of the trading ecosystem—quietly ensuring that markets function efficiently, transparently, and with integrity. Without them, even the most successful trading strategies would fall apart.