Low Latency News

Latency Improvements Today…Pay Tomorrow

Don’t let your existing carrier contract commitments keep you from picking up the phone today
Receive the Lowest Latency Solutions Available today

Contract flexibility available to accommodate your existing contract obligations.
CFN will delay billing of CFN Lowest Latency Services until your current contract expires.

Exclusive Guarantees from CFN Services

• Lowest Latency Available from Chicago to NY/NJ, Sao Paulo, Slough, London and Frankfurt
• Exclusive Provider for sub 1G bandwidth options (10Mbps, 50 Mbps, 100Mbps) with 1G also available.
• You dictate the bandwidth requirements for each location, flexibility to provision a single 1G to multiple locations
• Price and Latency Guarantees – you are assured to always have the lowest latency available and best pricing for the term of your agreement
• Portability Guarantees – CFN offers complete portability, as needs change, the infrastructure will respond accordingly to follow any trading strategy

Act early to ensure you receive the latency improvements expected on this route over the next 3 years.

Click here for more information

CFN Services Expands Low Latency Connectivity and Proximity Collocation in New York, New Jersey and Chicago

Ultra-Low Latency Connectivity and Proximity Collocation offering for local and international financial institutions and vendors looking to participate in the United States equities, futures and options marketplaces

CFN Services has announced their continued commitment to provide lowest latency connections to all Global Exchanges, expanding and improving latencies to 6 new locations in between New York, New Jersey and Chicago. CFN Low Latency Global Exchange Infrastructure currently supports over 25 data centers spread out across 7 countries.

The newest locations announced are:

NJ/NY Metro

• 5851 Westside Ave., North Bergen, NJ
• 755 Secaucus Rd., Secaucus, NJ
• 120 W. Passaic, Rochelle Park, NJ

Chicago Metro

• 400 S. LaSalle, Chicago, IL
• 440 S. LaSalle, Chicago, IL
• 10 S. Canal St. Chicago, IL

CFN Services Low Latency Global Exchange Infrastructure is designed to facilitate trading and information exchange in global capital markets where trade execution speed is critical. The solution offers financial services firms such as brokers, hedge funds, exchanges, asset managers, and pre and post-trade services providers a fully managed, highly available optimized infrastructure, providing easy scalability and growth as trading firms enter new geographies and asset classes.

From Wall Street Journal Online:

Alternative trading system Bats Europe is planning to challenge London Stock Exchange Group with a new pricing plan next month for U.K. stocks, which it hopes will attract orders from the LSE.

Bats Europe said Tuesday it will invert its U.K. prices next month, meaning the firm will pay clients more for adding liquidity than it charges them to remove liquidity. The pricing tactic has proved successful for the firm in Europe and for its parent Bats Global Markets Inc. in the U.S.

Starting Sept. 1, Bats will pay a rebate of 0.004 percentage point on U.K. trades for adding liquidity and will charge 0.002 percentage point to remove. It won’t charge any fee for customers trading more than an average of £50 million ($82.8 million) a day.

This means Bats Europe would give clients £4 for every £100,000 of business they post on the system, while it will charge a smaller customer £2 — or a larger trading firm nothing — when it takes the other side of the trade.

The move coincides with the LSE’s plan to dump its rebate and fee model — known as “maker taker” — on Sept. 1 and start charging fees on both sides of the transaction.

“Many of our customers are disaffected with the LSE decision to drop the maker taker and we see this as an opportunity to dramatically increase our U.K. market share,” said Paul O’Donnell, chief operating officer of Bats Europe. “We are hoping to boost our share to as much as 10% by the end of September.”

Bats Europe was trading about 4.4% of FTSE 100 equities this week compared with the LSE’s 66%, according to Bats data.

A spokesman for the LSE wasn’t available for comment.

The Bats pricing tactic has helped boost the firm’s trading activity in Europe, where it introduced a similar policy for French, Dutch and Belgian stocks in June, and in the U.S. where inversions in January and September 2007 established the platform in its home market.

The Bats move came just a day after rival exchange Turquoise, which is owned by many of the same investment banks, said it is putting itself up for sale. Turquoise has sent sales prospectuses to 18 possible buyers, including the LSE and Bats Europe.

Turquoise is part of an effort by the banks to gain more control over the cost of buying and selling stocks in Europe’s financial markets. But the exchange has had a hard time making significant inroads since its launch last autumn.

Write to Luke Jeffs at luke.jeffs@dowjones.net

Corrections & Amplifications
Under a new pricing plan, Bats Europe would give traders £4 for every £100,000 of business they send into the exchange’s system. A previous version of this article incorrectly said the rebate would be £4 for every £1,000.