LSEG’s GATElab low-latency risk gate to India’s NSE
Financial software provider GATElab, part of London Stock Exchange Group (LSEG), has launched an ultra-low-latency service risk gateway to the National Stock Exchange of India (NSE). The solution is designed to enables users to send orders to the NSE equity derivatives segment in less than 30 microseconds, if all the pre-trade risk checks are met. It is built to encompass: Incoming FIX session from end users; hard real-time, pre-trade risk checks including standardised portfolio analysis of risk (SPAN) calculation; and an outgoing connection to the exchange using the NSE native protocol.
GATElab is intended to offer end users ultra-low latency service risk gateways for any market. Additional risk checks can be added at the request of the customer with a graphical user interface which allows them to monitor flow and run reports.
NSE’s FX derivatives segment will be the next area to be made available via the gateway.
Chris Corrado, group chief information officer at London Stock Exchange Group said, “GATElab’s advanced capital market technology products have proven to be a key driver of business success. We believe this is just the first step towards further market innovative solutions for the Group, our partners and clients”.
NSE is GATElab’s first market in the Asia-Pacific region. Technology provision has become increasingly important as a source of revenue for exchanges in the cash equities space, where margins have been compressed under competition from non-exchange trading venues including the cross engines of dealers. In an interim statement released in October 2015, technology services revenues for LSEG were reportedly up by 20%, which the group said had been driven by growth from MillenniumIT, the exchange technology supplier it acquired in 2009 and whose platform it migrated to in 2011.
Reports Dan Barnes