IBM has unveiled Financial Markets Framework, a new open standards based technology platform that combines the company's industry assets and ultra-low latency features with advanced information management, analytics and process integration software, to enable financial services firms better manage electronic trading.
IBM claims that its Financial Markets Framework will provide the key capabilities required by most financial markets firm, including: a market data solution that can accept feeds from virtually any provider and deliver market data at high speeds and low latency; an algorithmic trading program that can increase automated trading while reducing risks; securities processing capabilities that consolidate similar processes to lower operating costs; an advanced trading infrastructure capable of low microsecond response times and millions of orders per second throughput.
It also provides market surveillance and trade monitoring capabilities that can track and analyze market activity in real time to identify and investigate possible violations of market regulations; and a settlement risk management capability that can measure and monitor the risk associated with unsettled trades.
IBM has teamed up with Fixnetix to combine IBM’s Financial Markets Framework with Fixnetix co-location and market connectivity capabilities. This is expected to offer clients shared hosted managed services that provide cost-effective, ultra low latency services for multi-asset market data and trade/order execution.
Interactive Data, a provider of managed ultra-low latency services for electronic trading, is using the IBM framework to provide a variety of electronic trading infrastructure services to clients. Chi-Tech, a providers of trading services to exchanges, is also utilizing the framework as part of its new trading platform.
Gregory Smith, vice chairman of Chi-X Global and CEO of Chi-X Global Technology, said: “We are continuing the worldwide rollout in our Chi-X Asia and North America exchanges, and we fully support the IBM Financial Markets Framework for the broader industry foundation that it provides to the Chi-Tech customer base around the world.”