Derivatives trading technology provider FFastFill is expanding its global network with a low-latency optical fibre route between Europe and Asia.
The link between London and Hong Kong, contracted from technology and IT services provider BSO Networks, is designed to provide the lowest latency possible by passing through Europe, Russia, Mongolia and China. FFastFill's solutions encompass electronic order routing, clearing, risk management and the back office as part of an integrated structure. FFastFill aims to create a network that gives users high-speed access to European, American and Asian exchanges.
The firm currently offers connectivity to four Chinese exchanges: the Shanghai Futures Exchange; the Dalian Commodities Exchange; the ZhengZhou Commodities Exchange; and the China Financial Futures Exchange.
“Through our ever-expanding and improving global network, we are able to provide clients around the globe with a fully hosted Software as a Service solution, scalable to their particular requirements,” said Robert Walton, managing director of business development at FFastFill. “The addition of the link between Europe and China strengthens this further, enabling users to trade a multitude of exchanges with minimal latency.”
A spokesman for FFastFill said its network would help market participants to pursue trading opportunities in Asia more effectively, particular firms looking to execute commodity futures arbitrage strategies. “This is a growing market,” he said. “You need fast connection to these pools of liquidity. If you're trading on European exchanges and arbitraging with exchanges in North America or Asia, it makes sense to have a low-latency link, as you need to avoid latency in the connection between one exchange and the other.”
FFastFill recently entered into an agreement to provide global multi-asset brokerage Newedge with a solution to provide qualified buy-side clients with access to China's futures markets, in November 2010.