ICE Links Up with UK Data Center, Improving Time Precision Ahead of MiFID II
- ICE will link up with the UK's NPL to achieve up to 100-microsecond level traceability of trading events.
Intercontinental Exchange (NYSE: ICE), an international network of exchanges and clearing houses, has inked a partnership with the UK's National Physical Laboratory (NPL), helping improve its trading synchronization capabilities ahead of upcoming requirements with MiFID II.
The London Summit 2017 is coming, get involved!
As of January 2018, financial organizations will be required to achieve up to 100-microsecond level traceability of trading events. This new requirement comes amidst an uptick of high frequency trading (HFT), which necessitates a greater level of timing and precision for trading venues.
Time is Money
The collaboration will feature Colocation Colocation Colocation concerns the practice of accessing prices a split second faster through direct feeds.This differs from the congregation of data that is generally transferred between two exchanges then displayed on a trader’s computer, mobile device, or tablet. Popularized out of the wake of high-frequency trading, colocation is becoming more sought after as speed continues to prove paramount within the day trading arena and algo trading is on the rise. What Are the Benefits of Colocation?The core adv Colocation concerns the practice of accessing prices a split second faster through direct feeds.This differs from the congregation of data that is generally transferred between two exchanges then displayed on a trader’s computer, mobile device, or tablet. Popularized out of the wake of high-frequency trading, colocation is becoming more sought after as speed continues to prove paramount within the day trading arena and algo trading is on the rise. What Are the Benefits of Colocation?The core adv at the NPL's Data Center Data Center A data center is a building or network used to house computer systems and associated components, such as telecommunications and storage systems.This generally includes redundant or backup power supplies, redundant data communications connections, environmental controls, and various security devices. Large data centers are industrial scale operations using as much electricity as a small town.Over the past decade, data center space has been growing at an incredible rate. This has increased as more A data center is a building or network used to house computer systems and associated components, such as telecommunications and storage systems.This generally includes redundant or backup power supplies, redundant data communications connections, environmental controls, and various security devices. Large data centers are industrial scale operations using as much electricity as a small town.Over the past decade, data center space has been growing at an incredible rate. This has increased as more in Basildon. The initiative will draw on the use of NPLTime, which sends the precise time (accurate to one second every 158 million years) via fibre direct from the NPL, maintaining the UK’s atomic clock which is responsible for the maintenance of accurate time across the country. This will be instrumental in helping firms meet the new, upcoming regulations.
Users at ICE’s data center will also receive the underpinning timing capability for traceable timestamping, latency monitoring and synchronisation, in compliance with MiFID II requirements. As such, the additional layer of precision afforded through the time service will help in aiding forensics and audits, aiming to improve the functioning of financial markets and investor protections.
ICE would be the second exchange venue to link up with NPL, following in the footsteps of TMX Atrium. UBS recently became the first lender to switch over to the new clock, viewing it as an avenue to compliance with the MiFID II RTS 25 timing traceability requirement.
According to Leon Lobo, Strategic Business Development Manager, NPL, in a statement on the integration: "In today’s markets, timing is everything. High frequency trading represents around 30% of UK trades and 50% in the US - precise timing offers competitive advantage.”
"Current systems rely on GPS which is vulnerable to jamming and other interferences and uses equipment that can be inaccurate. Timing issues have led to trading irregularities with the potential to disrupt markets."
Intercontinental Exchange (NYSE: ICE), an international network of exchanges and clearing houses, has inked a partnership with the UK's National Physical Laboratory (NPL), helping improve its trading synchronization capabilities ahead of upcoming requirements with MiFID II.
The London Summit 2017 is coming, get involved!
As of January 2018, financial organizations will be required to achieve up to 100-microsecond level traceability of trading events. This new requirement comes amidst an uptick of high frequency trading (HFT), which necessitates a greater level of timing and precision for trading venues.
Time is Money
The collaboration will feature Colocation Colocation Colocation concerns the practice of accessing prices a split second faster through direct feeds.This differs from the congregation of data that is generally transferred between two exchanges then displayed on a trader’s computer, mobile device, or tablet. Popularized out of the wake of high-frequency trading, colocation is becoming more sought after as speed continues to prove paramount within the day trading arena and algo trading is on the rise. What Are the Benefits of Colocation?The core adv Colocation concerns the practice of accessing prices a split second faster through direct feeds.This differs from the congregation of data that is generally transferred between two exchanges then displayed on a trader’s computer, mobile device, or tablet. Popularized out of the wake of high-frequency trading, colocation is becoming more sought after as speed continues to prove paramount within the day trading arena and algo trading is on the rise. What Are the Benefits of Colocation?The core adv at the NPL's Data Center Data Center A data center is a building or network used to house computer systems and associated components, such as telecommunications and storage systems.This generally includes redundant or backup power supplies, redundant data communications connections, environmental controls, and various security devices. Large data centers are industrial scale operations using as much electricity as a small town.Over the past decade, data center space has been growing at an incredible rate. This has increased as more A data center is a building or network used to house computer systems and associated components, such as telecommunications and storage systems.This generally includes redundant or backup power supplies, redundant data communications connections, environmental controls, and various security devices. Large data centers are industrial scale operations using as much electricity as a small town.Over the past decade, data center space has been growing at an incredible rate. This has increased as more in Basildon. The initiative will draw on the use of NPLTime, which sends the precise time (accurate to one second every 158 million years) via fibre direct from the NPL, maintaining the UK’s atomic clock which is responsible for the maintenance of accurate time across the country. This will be instrumental in helping firms meet the new, upcoming regulations.
Users at ICE’s data center will also receive the underpinning timing capability for traceable timestamping, latency monitoring and synchronisation, in compliance with MiFID II requirements. As such, the additional layer of precision afforded through the time service will help in aiding forensics and audits, aiming to improve the functioning of financial markets and investor protections.
ICE would be the second exchange venue to link up with NPL, following in the footsteps of TMX Atrium. UBS recently became the first lender to switch over to the new clock, viewing it as an avenue to compliance with the MiFID II RTS 25 timing traceability requirement.
According to Leon Lobo, Strategic Business Development Manager, NPL, in a statement on the integration: "In today’s markets, timing is everything. High frequency trading represents around 30% of UK trades and 50% in the US - precise timing offers competitive advantage.”
"Current systems rely on GPS which is vulnerable to jamming and other interferences and uses equipment that can be inaccurate. Timing issues have led to trading irregularities with the potential to disrupt markets."