Swedish technology company Cinnober has unveiled TRADExress Ultra trading system, which it claims is the fastest matching engine in the world.
The system offers average door-to-door latency below 10 microseconds – the first matching engine to do so, according to Cinnober – by stripping down and focusing on core functionality. Targeted at venues serving high-frequency traders (HFT), Cinnober's offering complements its TRADExpress Trading System, a low-latency platform that offers more complete functionality.
TRADExpress Ultra supports only frequently-used order types such as limit, iceberg, fill-and-kill and fill-or-kill orders. By comparison the complete TRADExpress Trading System, which offers the full range of order types including dark, stop and peg orders, boasts round-trip latency of less than 100 microseconds.
“HFT firms may say they want limit orders and nothing else,” said Nils-Robert Persson, executive chairman of Cinnober. “We are willing to streamline functionality more than others to get closer to zero. Our TRADExpress Trading System is highly competitive on latency, but TRADExpress Ultra reaches completely new levels.”
Cinnober built the matching engine on which European multilateral trading facility Turquoise operated an integrated lit and dark order book until the London Stock Exchange, which purchased the venue in Q1 2010, migrated Turquoise to an in-house developed technology platform.
The Cinnober offering has also been built to keep hardware requirements to the minimum. “Total cost of ownership is key to many trading venues,” said Jan Arpi, CEO at Cinnober. “Our platform concept makes it much easier and less costly to keep a lean infrastructure up to data and utilise the latest advances in hardware and networks.”
Cinnober's customers include Alpha Trade Systems, Borsa Italiana, Burgundy, Chicago Board Options Exchange, EDX London, Deutsche Börse, Hong Kong Mercantile Exchange, London Metal Exchange, Markit BOAT and NYSE Liffe.