NasdaqOMX prop traders and high-frequency traders can now get their market data hyperfast – in nanoseconds rather than in microseconds.
Burstream, a low-latency data provider geared towards the HFTs, announced its NanoSpeed Market Data Mesh can get traders data in about 600 nanoseconds, according to Paul Barringer, chief executive of Burstream.
"Our turn-key solution delivers a substantial trading advantage – ten times faster than hardware accelerated approaches," Barringer said. "NanoSpeed Mesh gives proprietary
trading firms the ability to quickly and dramatically increase the performance of their latency-sensitive algorithms."
A microsecond is one-millionth of a second while a nanosecond is one-billionth of a second.
"The difference between a 600 nanospeed feed versus a 10 microsecond feed is equivalent to traveling 600 feet versus 10 miles," he added.
The service is based on a high performance infrastructure that uses field programmable gate array –FPGA– feed handlers and order book managers. Burstream takes raw market data directly from the matching engines and uses 100 percent hardware FPGA technology to normalize the data and deliver it to customer trading servers.
The FPGA feed handlers and order book managers enable the trading algorithms to access market data near the speed of light, with no slowdowns during market bursts, Barringer said. This reduces latency and eliminates time fluctuations typically seen in conventional software and hardware-accelerated approaches.
Data Mesh is currently in operation at Nasdaq’s Carteret, N.J. data center. There are plans to connect to the CME, NYSE, NYSE Arca, BATS, Direct Edge and ICE sometime in the fourth quarter.
