It hopes to attract more high-speed traders with new Genium platform
By CONRAD TAN 24 March 2009
The Singapore Exchange (SGX) is planning to replace its trading engine with an even faster one that it hopes will attract more high-speed traders to the Singapore market.
SGX said yesterday that it had signed an agreement with the Nasdaq OMX Group to study in detail a plan to migrate trading in both equities and derivatives to Genium, the latest trading platform offered by Nasdaq OMX.
The news comes just months after SGX announced other major enhancements to its IT infrastructure that will allow it to handle much higher trading volumes than before, while reducing latency (the time it takes for market data to reach traders).
The move to its current trading system for equities and other securities such as exchange-traded funds and structured warrants, Quest-ST - which is also provided by Nasdaq OMX - was completed only last July.
And in December, SGX launched a major upgrade to Quest-DT, its trading engine for derivatives including equity-index futures and options, to cater to the increasing demands of so-called algorithmic traders, who use automated computer programs to place buy or sell orders at high speed in response to changing prices.
BT understands that SGX will focus on using Genium for equities trading first, but that it plans to eventually use the new trading engine for derivatives too. The migration of equities trading to the new platform is expected to take some 18-24 months.
‘We have a successful and longstanding relationship with Nasdaq OMX, and this agreement represents a natural extension of our partnership,’ SGX chief executive Hsieh Fu Hua said in a statement.
‘Migration to Genium for our trading solution would result in SGX having ultra-low latency and world-leading performance,’ he added. ‘This will support our initiatives to attract more high-velocity and algorithmic traders, while offering our existing customers the convenience of using the same electronic interface.’
Nasdaq OMX Group was formed through the merger of US-based exchange operator Nasdaq and the OMX group of European stock exchanges - a deal that was formally completed in February last year.
1 comment:
SGX mulls switch to faster trading engine
It hopes to attract more high-speed traders with new Genium platform
By CONRAD TAN
24 March 2009
The Singapore Exchange (SGX) is planning to replace its trading engine with an even faster one that it hopes will attract more high-speed traders to the Singapore market.
SGX said yesterday that it had signed an agreement with the Nasdaq OMX Group to study in detail a plan to migrate trading in both equities and derivatives to Genium, the latest trading platform offered by Nasdaq OMX.
The news comes just months after SGX announced other major enhancements to its IT infrastructure that will allow it to handle much higher trading volumes than before, while reducing latency (the time it takes for market data to reach traders).
The move to its current trading system for equities and other securities such as exchange-traded funds and structured warrants, Quest-ST - which is also provided by Nasdaq OMX - was completed only last July.
And in December, SGX launched a major upgrade to Quest-DT, its trading engine for derivatives including equity-index futures and options, to cater to the increasing demands of so-called algorithmic traders, who use automated computer programs to place buy or sell orders at high speed in response to changing prices.
BT understands that SGX will focus on using Genium for equities trading first, but that it plans to eventually use the new trading engine for derivatives too. The migration of equities trading to the new platform is expected to take some 18-24 months.
‘We have a successful and longstanding relationship with Nasdaq OMX, and this agreement represents a natural extension of our partnership,’ SGX chief executive Hsieh Fu Hua said in a statement.
‘Migration to Genium for our trading solution would result in SGX having ultra-low latency and world-leading performance,’ he added. ‘This will support our initiatives to attract more high-velocity and algorithmic traders, while offering our existing customers the convenience of using the same electronic interface.’
Nasdaq OMX Group was formed through the merger of US-based exchange operator Nasdaq and the OMX group of European stock exchanges - a deal that was formally completed in February last year.
Post a Comment