Milo


 

Milliseconds Battlefield ChiX Europe LSE Xetra Topix NYSE


Time spent laughing is time spent with the Gods. Japanese proverb

Time stays long enough for anyone who will use it. Leonardo Da Vinci

Every seed knows its time. Russian Proverb

Time will explain it all. He is a talker, and needs no questioning before he speaks.    Euripides

To choose time is to save time.  Francis Bacon

  • A microsecond is one millionth of a second.
  • Chi-X Europe offers a roundtrip latency of as little as 400 microseconds when co-located and an average internal latency of 350 microseconds, considerably faster than the incumbent exchanges in Europe.
  • Trading venue   Average latency (milliseconds) 
  • Chi-X Europe                              0.4  (milliseconds) 
  • LSE SETS                                    <6  (milliseconds) 
  • Euronext                                      13  (milliseconds) 
    Deutsche Borse Xetra                 37  (milliseconds) 
    OMX                                             43  (milliseconds) 
  •  “Chi-X Europe’s matching engine is rated as super-fast for matching trades with an average internal latency of 350 microseconds. In order to take advantage of this it is vital that our participants have the lowest-latency inbound connectivity possible while also having sufficient spare capacity to deal with daily peaks in trading activity.
  • Tokyo Stock Exchange (TSE) will increase the frequency of distribution for the indices which it calculates, such as TOPIX, to 1 sec., and, additionally, launch a new High-Speed Index Dissemination Service provided at the millisecond level.
  • With the advancement of financial technology and the spread of new trading methods, such as algorithmic trading, the market environment is evolving. In order to respond to these developments, 
  • the High-Speed Index Dissemination Service is aimed at calculating and distributing the target indices at the millisecond-level (1 millisecond is 1/1000th of a second), whenever a price to be used in such indices occurs.
  • Fujitsu Limited and Tokyo Stock Exchange Group  next-generation trading system developed an "arrowhead" achieves an order execution time of 5 milliseconds (one-thousandth of a second) and distributes information in 3 milliseconds.
  • the new trading system allows market participants to observe and act on fast-moving market trends, and brings about increased liquidity and new styles of trading.
  • TSE has measured an order response time of two milliseconds and combined with Fujitsu's solid system construction and the services on its ... in the second quarter of this year, and will “span across 2011-2012
  • NYSE Euronext’s all-electronic U.S equities exchange and already one of the fastest equities markets, is further speeding up its order execution time with the implementation of the company’s Universal Trading Platform.  
  • NYSE Arca customers are experiencing roundtrip executions of 650 microseconds for Nasdaq-listed issues, and 950 microseconds for NYSE- and NYSE Arca-listed issues, which generally have deeper books and more orders.
  • Quant House, has announced that the combination of its feed handlers technology with the performance of its private fully owned global fiber optic network between Chicago, New York, London, Paris and Frankfurt will allow program trading firms in London to have access to Chicago based exchanges in less than 45 milliseconds.
  • Q:  Can we imagine that ECB, Bank of Japan or FED  will announce it's official discount rate/basic rate  not once in 1-2 months, but in 2015/2020 in milliseconds periods too? Strange idea....

Sources: TSE, NYSE, Chi-X Europe, automatedtrader.net,  fujitsu.com

With kind regards,

M.Hoschek

independent freelancer,

mhoschek@gmail.com

(with "The Economist" in hand)


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