Asian markets gear up for new trading systems

The Stock Exchange of Thailand and proprietary trading system SBI Japannext have both unveiled plans for migrating to new trading systems next month.

The Stock Exchange of Thailand (SET) and proprietary trading system (PTS) SBI Japannext have unveiled plans for migrating to new trading systems next month.

From 3 September, the Thai bourse will launch SET CONNECT, a new system built together with Swedish trading platform provider Cinnober, which the exchange says will offer greater capacity and help support new domestic and international product launches.

SET CONNECT has been fully tested and was developed in conjunction with 32 broker members, independent software vendors and market data vendors.

The new trading engine will also be integrated with a new market data dissemination system and a market surveillance system that meets international standards. It will be able to support multi-currency trading and will use FIX, the message standard developed by FIX Protocol Ltd, for establishing connectivity to overseas markets.

The new surveillance platform will instantly and proactively monitor and detect anomalies, which SET claims will boost reliability and minimise possible risks.

“All three new systems will boost the Thai capital market's competitiveness, which is our crucial step to provide trading services with cutting-edge technology,” said Charamporn Jotikasthira, president, SET. "SET CONNECT will enhance global investor confidence in the potential of the Thai capital market, propelling the market onto the international stage and making the most of all opportunities for investors, as well as matching the right financial opportunities for market participants.”

Meantime, SBI Japannext, the largest alternative trading platform in Japan, will begin testing for switching to its Nasdaq OMX-supplied matching engine this weekend. The anticipated go-live date is 24 September, with a final determination due to be made by 17.00 JST on 22 September.

The INET X-stream platform, which was also implemented by SIX Swiss Exchange earlier this year, will let the PTS’s members trade orders in under 100 microseconds, with a matching rate of 80,000 messages a second.

According to Thomson Reuters data, SBI Japannext traded 3.66% worth of Japanese equity trading last month, over double the 1.34% executed by rival PTS Chi-X Japan.

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