High Frequency Proprietary Trading

Latency Intelligence™ technology gives high frequency proprietary traders the low latency they need to get the freshest market data and react first.

High frequency proprietary traders use complex algorithms to quickly analyze vast quantities of streaming market data to execute trading strategies. The testing of new strategies on the fly involves a comparison of real-time and historical data from different sources, which results in additional latency. For this reason, latency management and monitoring are as crucial to the field of algorithmic trading as the data being analyzed.

The rise in event processing technology also fuels the need for speed as automated trading firms can incorporate every tick and quote into their analytics. In order to access and validate the freshest data and be the first to reach the market, high frequency traders need to ensure low latency environments.

The Correlix Latency Intelligence Suite utilizes advanced algorithms to optimize market data and trading infrastructures and provide real-time monitoring and analysis tools to measure and manage latency. By identifying the freshest data sources, recognizing internal flow bottlenecks, and identifying the broker, dealer, or liquidity venue with the best execution, Latency Intelligence analytics are used to modify CEP rules to send signals to preemptively avert or mitigate performance issues in trade execution.

By using innovative message correlation technology, Correlix Latency Intelligence solutions can trace market data and trading transactions across complex and diverse landscapes to report a multi-step flow latency by destination, customer, or trade path for transactions and source, subscriber or data flow for market data. Providing out-of-the-box, heterogeneous, preconfigured protocols and semi-auto learning capabilities, Correlix is able to cover a diverse set of technologies and applications, including proprietary homegrown systems and protocols.

Correlix Latency Intelligence solutions also offer capabilities such as root cause analysis of failed transactions and trend analysis with early alerts on problems before they escalate and affect business performance. By anticipating and minimizing latency bottlenecks in real-time and rapidly taking corrective actions, high frequency proprietary traders can optimize their portfolio, increase business, improve operational efficiencies, and support continuous latency management as the infrastructure evolves.

Our Technology
Transaction steps have inbound and outbound messages with message attributes that are common or specific to the message type. Correlix uses this path data together with its unique message correlation technology to trace transactions across distributed networks in real-time. Correlix taps into networks through span or mirror ports, and traces messages via software probes that passively listen to traffic moving across networks without adding any additional latency to performance. Multiple probes are used when customers want to monitor all applications used in trade execution and market data flows as traffic traverses these complex infrastructures.

By using patented technology, Correlix identifies unique attributes within each message. For this reason, even if the message is transformed while traversing from one protocol to another, it can be traced and the latency can be measured for each application.