Cisco Cisco Nexus 5010 Switch Dépliant
Summary
High-frequency trading (HFT) has become an important function within global financial markets. Trading volumes are on the
rise and HFT is the largest contributor. Profits in HFT are currently estimated by the Tabb Group to be US$21.8 billion per year.
Speed is the most important differentiator in HFT, making it critical to establish the lowest possible latency between processing
environments.
rise and HFT is the largest contributor. Profits in HFT are currently estimated by the Tabb Group to be US$21.8 billion per year.
Speed is the most important differentiator in HFT, making it critical to establish the lowest possible latency between processing
environments.
The demand for low-latency services has increased tremendously since the advent of algorithmic trading. Milliseconds and
now microseconds are a competitive edge, both for the demand and the provision of electronic execution services. Speed is
important to sophisticated market participants because it impacts the profitability of their innovative trading strategies. Equally
critical is the ability to outperform competitors during peak periods of intense activity. These attributes require an agile and
high-performing infrastructure that supports today’s best-execution requirements and addresses the enormous volumes and
surges of data associated with periods of market volatility.
now microseconds are a competitive edge, both for the demand and the provision of electronic execution services. Speed is
important to sophisticated market participants because it impacts the profitability of their innovative trading strategies. Equally
critical is the ability to outperform competitors during peak periods of intense activity. These attributes require an agile and
high-performing infrastructure that supports today’s best-execution requirements and addresses the enormous volumes and
surges of data associated with periods of market volatility.
Cisco has a proven track record of providing innovative solutions to leading firms in global financial markets. The Cisco® Algo
Speed High-Frequency Trading solution is based on decades of experience and investment. This solution provides:
Speed High-Frequency Trading solution is based on decades of experience and investment. This solution provides:
• A scalable architecture with predictable performance that adjusts to meet business requirements
• Proven low-latency and reliability supported by the most rigorous, real-world testing in the industry
• The capability to handle extremely volatile periods of market activity without loss—for instance, at market open and close or
• Proven low-latency and reliability supported by the most rigorous, real-world testing in the industry
• The capability to handle extremely volatile periods of market activity without loss—for instance, at market open and close or
when mid-day opportunities generate intense surges of trading activity
Challenges
High-frequency trading is a subset of the electronic, algorithmic trading market, exploiting very short-lived opportunities,
especially during times of high volatility in the market. To optimize performance and minimize delays due to distance, many firms
co-locate their servers at the execution venue. The effect of HFT on the market extends beyond the firms that focus on this
practice.
especially during times of high volatility in the market. To optimize performance and minimize delays due to distance, many firms
co-locate their servers at the execution venue. The effect of HFT on the market extends beyond the firms that focus on this
practice.
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Overview