Two Technology Trends throughout High-Frequency Trading

It was great to get back to the office following your Xmas break, no longer cool turkey! Setting out programs for the approaching year is some sort of great chance to look at what the commentators are declaring will be typically the trends of the particular New Year. Typically the buzz in typically the Higher frequency Trading space is centered on the approaching regulation and Western Union MiFID 2 (Market in Financial Instruments Directive) throughout particular. I typically perceive regulation as a bad thing, more work along with no gain, yet we might not include the market fragmentation in Europe without MiFID; which got destroyed the monopoly associated with country stock exchanges. 45% of typically the FTSE 100 stocks and shares are traded off of the London Inventory Exchange. The Tabb Group, an agency, reckons HFT makes up 56% of almost all equities trades in the US plus 38% in The european union. The trend could only go one way with additional market players getting into the HFT style of stock trading.

Two technology developments to watch this 1 / 4

Growth inside of the market is great news for us in the technology area but we are also seeing improvements in the Low Latency Networking place that will affect the infrastructure patterns we are delivering. The first is Precision Time Standard protocol (IEEE 1588, PTP) in silicon in network cards in addition to the second is usually purchase of Voltaire, subject to approvals.

Just what PTP means intended for the Low Latency market.

Accurate measurement of latency accommodement. Traders will know to micro-second exactly how long their position changes take and even will be able to see arbitrage opportunities. The perdant will have to get smarter which often is good for market efficiency.
Consultants who else have built a small business on deploying estimated trade times by simply inserting probes and parallel processing works will have in order to amend their approach because the network side will become producing accurate effects, at last!
https://www.radiumbox.com/ of network nucleus by-pass acceleration will be able to quickly and just demonstrate the key benefits of their own technology, making it easier to be able to sell the principle. Who is able to argue together with figures that trustworthy that so some sort of drop from 20ms to 9ms.
Typically the other news with the end associated with last year was your purchase of Voltaire, the Infiniband system vendor, by si manufacturer Mellanox, the particular only other major player in the Infiniband tech space. This kind of consolidation in the markets will focus typically the attention on the furious Infiniband passages 10 Gigbait Ethernet, (10GbitE) debate. Seeing the vendors tossing stones at 1 another will be enjoyment but the High end Computing market is definitely big enough to help both technologies and I think the particular High Frequency Investing market can do the particular same.

Leave a Reply

Your email address will not be published. Required fields are marked *