CME’s UK expansion has been boosted, as the worlds largest derivatives exchange selectsEquinix as its London data centre. CME is establishing a European CMEGlobex hub inside Equinix’s London, Slough LD4/LD5 data center campus.
The CME Globex hub is scheduled to open in May 2013. Once completed, it will enable further alignment with the CME Group’s regional customers, while providing the company access to an expansive community of potential customers located inside Equinix International Business Exchange™ (IBX®) data centers around the world.
Approximately 25 percent of CME Group’s electronic trading volume comes from outside the United States, primarily from the EMEA region. Locating the CME Globex hub at Equinix’s LD4/LD5 campus gives CME Group a significant advantage by placing its business within close proximity to Europe’s leading trading platforms and electronic trading customers.
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New market regulations across Europe are driving the movement of derivatives to trade on exchanges resulting in trade processing through central clearing houses and data being reported and housed in trade repositories. Over the past few years, Equinix has built a cross-asset class business which is well-positioned to meet the demands of the evolving algorithmic trading market and its growth into additional asset classes such as FX and derivatives.
CME Group exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, metals, weather and real estate. The group brings buyers and sellers together through its CME Globex® electronic trading platform and its trading facilities in New York and Chicago.
William Knottenbelt, managing director EMEA, CME Group: “We continue to see growing demand from our customers based throughout Europe for our product offerings, which means that we also need to focus on building our infrastructure and technology capabilities in the region. By opening this new hub with Equinix, we are helping our customers achieve better cost and technology management efficiencies with the added benefit of accelerated access to our markets.”
Stewart Orrell, managing director of Global Financial Services, Equinix: “In today’s evolving market, exchanges want to reach the largest trading community with the lowest infrastructure costs, using data centers already well-populated with their target customers. Equinix is the only network-neutral data center provider that’s able to meet these needs globally, and CME Group will be a uniquely powerful addition to the thriving financial ecosystem inside Equinix.”