Ultra Low Latency Trading
Ultra low latency is the key to winning your trade at the price you want before the stock price moves. This is true whether you are a high frequency trader, a market maker or a statistical arbitrage trader.
New Wave DV’s programmable device technology gives our customers the edge that makes the difference between winning the trade and watching someone else win. That’s why the top names in the financial markets trust our products.
Algorithmic trading systems use techniques such as co-location, shortest path networks, and increasingly 10 Gigabit Ethernet interfaces and Field Programmable Gate Array (FPGA) technologies in order to minimize latency and gain a competitive advantage. FPGA technologies—increasingly referred to as programmable logic devices—are invaluable in competing at the premier level. New Wave DV offers custom programmable devices for your trading needs.
How do Programmable Logic Devices for High Frequency Trading Work?
A trading system analyzes market data from multiple stock exchanges, uses financial trading strategies to find trading opportunities, and uses an ultra low latency interface to get orders into the trading queue first.
In order to reduce latency, it is necessary to push the decision making on trades to the Network Interface Card (NIC) which alleviates the need to involve the main system processor introducing undesirable delays in response time. This network-side processing (where processing occur as close to the network interface as possible) is essential for the design of a truly ultra low latency system.
Custom FPGA Technology for Trading Offers Distinct Benefits
A solution based on field programmable gate array technology has many advantages:
- Trade execution on an FPGA located close to the network’s physical interface eliminates the latencies caused by the host bus, the host processor and the operating system. This drastically improves trading response time.
- FPGAs provide wire-speed performance, allowing the execution of the part of the algorithm that detects and acts on trading opportunities almost instantaneously before others even notice the opportunity.
- FPGAs can be reprogrammed during operation allowing parameters and algorithms to be changed and updated to keep ahead of competitors.
- FPGAs are excellent at parallel processing enabling them to act on multiple trades simultaneously.
- FPGAs can be provided with a development framework that shortens the development cycle for customers and allow them to focus on development of their systems and proprietary algorithms.
- Every FPGA from New Wave Design & Verification is a custom programmable logic device: we will design your programmable device to suit your needs and beat your competition.
New Wave DV provides best-of-class ultra low latency 10 Gigabit Ethernet FPGA cards enabled with an easy-to-use application development framework. Our team’s expertise comes from years of providing solutions for financial markets. We deliver on time and on budget in an industry where every second and every penny makes or breaks a deal.