The upheaval in the financial system and the volatility in the indices do not appear to be impacting the business of trading venues. Rather, some of the trading venues (ISE, CME Group etc.) are achieving record trading volumes, the main revenue generation activity for them. The trading venues- business appears to be immune to the [...]

In this piece we would look into latency and proximity services and would try to understand the rational for them.
The market buzz is latency and in order to reduce the latency numbers some of the trading venues have started proximity or co-location services. Latency refers to the round about time taken by an order going [...]

The dismantling of the ‘concentration rule’ has acted as a trigger for the emergence of some of the trends highlighted in the earlier piece. The dismantling, on the one hand, led to a reaction from the stock exchanges to safeguard their business and specifically the liquidity available on their platforms. On the other hand, the [...]

In this piece, we will touch upon the trends affecting the exchange industry (we shall now refer to this industry as �trading venues industry� due to proliferation of trading platform providers like exchanges, multi-lateral trading facilities (MTF), systematic internalizers (SI), electronic communication network (ECN), etc.)…