The technology division of NYSE Euronext said its Capital Markets Community Platform will provide direct, on-demand access to high-performance, low-latency services from NYSE Technologies, including its Superfeed of market data, its Risk Management Gateway, its Managed Services Hub, and its global Liquidity Center Network.
The services all will be deliverered over its existing Secure Financial Transaction Infrastructure, a worldwide network of pipes connected to major venues and market participants.
The on-demand platform was developed in partnership with VMware, which markets “virtualization” software that allows companies to slice and dice computing capacity on servers, desktop computers, mobile devices, storage devices and networks, as well as and EMC, the storage and data recovery specialist.
“We began working with VMware and EMC with a goal of creating not only the first cloud-based platform in the financial services industry, but a completely new model in customer service and business empowerment,” said Stanley Young, CEO, NYSE Technologies, in announcing the platform. “The cloud is a key component in our effort to create a virtual capital markets community with rapid access to global markets and actionable market information. All of this comes with absolutely no hardware investment, costly infrastructure maintenance or extended time to market for customers, giving them the opportunity to focus on their core business strategies.”
The platform is built on NYSE Technologies as well as VMware vSphere, VMware vCloud Director and VMware vShield security software as well as the EMC VNX series of storage hardware and software.
Trading firms can create and launch trading operations, as well as get rapid access to network services.
The service is set to go live on July 1. Testers include Pico Quantitative Trading, and Millennium Management LLC.
In April, NYSE Euronext said it was pushing its data centers and secure links between them as the foundation for a global network of market participants.
The "networked community of users" would be built around its $500-million-a-copy data centers in Mahwah, N.J., and Basildon, England, said NYSE Technologies chief executive Stanley Young, speaking at the 2011 High Performance Linux Financial Markets Show & Conference at the Roosevelt Hotel Monday.
But it would also extend to the liquidity hubs – small facilities housed near market centers and other sources of liquidity – that NYSE Technologies is building around the globe.
These could act, in toto, as an ‘industry facility’ for market participants such as exchanges, dark pools and trading firms. In Basildon, for instance, NYSE Euronext is supervising the operation of the Sigma X dark pool for Goldman Sachs Group, he said.
This kind of facility, for instance, could act as a “dark pool consolidator,’’ he said.
NYSE Euronext would provide access to this “global fabric of liquidity pools” in three ways, according to Feargal O’Sullivan, vice president of platform development for NYSE Technologies.
First would be co-location, where a venue or trading firm installs its own hardware and software in cabinets housed in separate cages at one or more location.
Second would be “compute on demand” services, where a firm would pay a flat monthly fee for pre-provisioned services. The services could run on either the Linux or Windows operating systems.
Third would be a cloud computing service, where a user would be provided slices of storage, software and processing power, as requested. In this case, the user would provision the services as needed and buy service as used.
Users, in all cases, would get proximity to trading venues’ matching engines, high-speed market data, historical data, ‘transparent’ and reasonable costing, communications, rapid provisioning and strong security.