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Cable Technology Feature Article

December 10, 2010

FXecosystem Introduces Cable 2.0 for Transatlantic Low Latency FX Trading

By Mandira Srivastava, TMCnet Contributor

To increases the speed of trading and information between banks, hedge funds, brokers and vendors, FXecosystem, the low latency trading infrastructure provider to the world's Foreign Exchange (FX) market launched Cable 2.0. 

According to the press release, this new service provides a number of diverse transatlantic link options enabling clients to transact faster than ever before. The service has been designed to reduce latency, risk, cost and slippage whilst increasing bandwidth, flow, customer access, efficiency and price options. Cable 2.0 is fully integrated with the specialized FX Meet Me Room.

When a steel cable was laid under the Atlantic Ocean in 1858 telegraphically linking the UK with the USA, messages with currency prices could be transmitted between London and New York faster than ever before, and the name Cable became the recognized foreign exchange term used for the GBP/USD currency pair rate.

Cable 2.0 provides users with greater bandwidth and consistent, quantifiable Round Trip Delay (RTD) over a fiber switched network (with a third diverse route coming soon). With current SLA times of 66.35 milliseconds on the primary route and 68.24 milliseconds on the diverse secondary route, no bandwidth restraints and no delta on RTD times, price engines and algorithmic strategies can be fine-tuned to gain competitive advantage.

With the introduction of Cable 2.0, the FXecosystem transatlantic link, users are provided with a more efficient, alternative access route to larger numbers of customers on either side of the Atlantic. The recent BIS survey identified that over the past three years, trading volumes of a group of currency players ranging from day traders at their kitchen-table laptops to hedge-funds to computer-driven models have surpassed the volume from the big banks that once dominated the market.

In a press release, Jon Vollemaere, co-founder of FXecosystem, said that the customers have the choice of selecting the most appropriate connectivity for their individual trading needs, be that speed, bandwidth, cost, risk or efficiency. He added that as the first to bring low latency FX to the market, FXecosystem continues to bring innovative solutions to the FX market, enabling customers to lead the market and transact faster than ever before and the majority of daily FX trading takes place between London and New York, and the company is pleased to add this piece of functionality to its solution.

Mandira Srivastava is a TMCnet contributor. She works as a full-time writer, ghostwriter and blogger, and has more than two years of experience in print and Web media. She has also worked on company brochures, website content and product descriptions, as well as proofreading and editing content. To read more of her articles, please visit her columnist page.

Edited by Jaclyn Allard