Re: OT: high frequency trading

Can you're software really move that fast? I understand the ability to
move data faster and oversubscription rates. I simply have doubts that
this translates to real world results.

From:
Nahskur Udniraht <expertinternetwork_at_gmail.com>
To:
Keegan.Holley_at_sungard.com
Cc:
"Joseph L. Brunner" <joe_at_affirmedsystems.com>, Anthony Bonilla
<anthonybonilla.ccie_at_gmail.com>, "ccielab_at_groupstudy.com"
<ccielab_at_groupstudy.com>, Gregory Gombas <ggombas_at_gmail.com>,
nobody_at_groupstudy.com
Date:
02/13/2010 08:29 AM
Subject:
Re: OT: high frequency trading
Sent by:
<nobody_at_groupstudy.com>

network comes to play after you break 1 millisecond barrier ...

we are using 4948 most of the time ...

On Sat, Feb 13, 2010 at 6:50 PM, <Keegan.Holley_at_sungard.com> wrote:

> This has been done and re-done over and over. You can colo at the
> exchange itself or there are probably a wealth of carrier hotels within
> 10ms of it. The bottleneck is almost always going to be the software
> though. I haven't actually seen studies on this, but off the top of my
> head I'm curious about the benefit of lowering latency from 15ms to say
2
> or 3. The software can take 1 or 2 full seconds or more to do it's DB
> calls and actually use the connection.
>
>
>
>
> From:
> "Joseph L. Brunner" <joe_at_affirmedsystems.com>
> To:
> Gregory Gombas <ggombas_at_gmail.com>, Anthony Bonilla
> <anthonybonilla.ccie_at_gmail.com>
> Cc:
> "ccielab_at_groupstudy.com" <ccielab_at_groupstudy.com>
> Date:
> 02/12/2010 10:54 AM
> Subject:
> RE: OT: high frequency trading
> Sent by:
> <nobody_at_groupstudy.com>
>
>
>
> Actually most shops send the orders to different exchanges and black
books
> and of course arbitrage between the price differences they can exploit.
> The can often find liquidity before anyone else knows it exists, and
they
> can send orders our for a very short time, of course pulling them if
they
> don't get the price they want...
>
> It's kind of a nice study to work with these guys- they do eat the
slower
> players lunch (that may be software not just location based slowness).
>
> Pretty much all the major players are already at the exchanges and
> therefore you have to do it.
>
> -Joe
>
> -----Original Message-----
> From: nobody_at_groupstudy.com [mailto:nobody_at_groupstudy.com] On Behalf Of
> Gregory Gombas
> Sent: Friday, February 12, 2010 9:17 AM
> To: Anthony Bonilla
> Cc: ccielab_at_groupstudy.com
> Subject: Re: OT: high frequency trading
>
> Tell them it won't matter anyway because whatever slight edge they
> will get over their competitor by collocating at the exchange will
> disappear once their competitor does the same :-)
>
> On Thu, Feb 11, 2010 at 10:23 PM, Anthony Bonilla
> <anthonybonilla.ccie_at_gmail.com> wrote:
> > Hi all, I am back again. Have a question regarding high frequency
> trading.
> > We are planning on collocating at an exchange for trading and are
> looking
> > for doing lowest latency possible. I wanted to see if anyone else is
> doing
> > this and if there are any recommendations. I am currently thinking
> about
> > 4900M and nexus 5k (layer 2) but am interested in seeing what others
> have
> > done and whether there are any best practices from cisco to ensure
that
> we
> > achive lowest latency. TIA.
> >
> >
> > Blogs and organic groups at http://www.ccie.net
> >
> >
Received on Sat Feb 13 2010 - 11:48:47 ART