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White Papers
- Nanosecond Latency Management
- Latency Management For Co-Location Trading
- Clock Synchronization
- Unified Latency Management
- Inter-Party Low Latency Management
- Managing Performance in Financial Trading Networks
- Measurement and Characterization of Latency in Trading Networks
- Analysis for Low Latency Trading Networks
- Traffic Conditions in Modern IP Networks
White Papers
Latency Management For Co-Location Trading
Co-location and proximity services allow market participants to significantly reduce the impact of latency on trading, typically taking market access times down into microsecond and soon to be nanosecond ranges. But co-location does not eliminate latency from other sources, including processing times within the exchange and reaction times within the participant’s own installed systems. Network latency also remains a critical factor affecting multi-venue trading and traders using multiple co-location centers.
Understanding and providing insight into these aspects of latency brings significant benefits to co-location participants. Finding and eliminating latency bottlenecks within installed systems ensures they are fast enough to reap the full benefits of co-location. Monitoring the speed of interactions with the exchange can reveal faster ways to trade, as well as showing how to adapt strategy behavior in response to changing latency conditions in different parts of the market. For multi-venue and multi co-location traders, deciding where to deploy strategies and how to route order-flow is easier when you have accurate knowledge of the latency matrix between different venues and co-location centers.
This paper discusses these benefits in more detail and explains how to instrument the co-location environment for high-precision latency management.
