Derivatives trading methods that use a variable order price and a hedge transaction

A method comprising:

• receiving variable defined derivative product order data at a match system, wherein the match system comprises a processor configured to control operation of the match system, and wherein the received data identifies an order pricing formula;
• calculating, by the match system, an order price based on the order pricing formula;
• accessing limit data stored by the match system, the limit data setting upper and lower bounds on at least one variable;
• identifying, by the match system, a matching order for an order associated with the calculated order price;
• determining, by the match system, whether execution of a transaction based on the identified matching order will cause one of the upper or lower bounds to be exceeded;
• performing, based at least in part on the determination and by the match system, one of executing the transaction or canceling the transaction;
• wherein the variable defined derivative product order data corresponds to an option and an underlying contract, and wherein the at least one variable comprises at least one of
• (a) a rate of change in a theoretical value of the option for a one-unit change in a price of the underlying contract,
• (b) a rate of change in (a) for a one-unit change in the price of the underlying contract, and
• (c) a rate of change in a theoretical value of the option for a one-unit change in a volatility of the underlying contract.