Aquis Technologies, the software development and licensing arm of exchange services group Aquis Exchange, has completed a project iwith Singapore Exchange (SGX) and Amazon Web Services (AWS) to validate that complex exchange architecture and operations can work as efficiently in the cloud as in physical data centers.
While most major financial exchanges operate using physical data centers, the infrastructure required to run a trading environment is massive, costly and the required networking to connect to market participants is complex. If trading firms could have all the benefits of running a cloud-based solution, the cost optimization, scalability and resiliency would make it very attractive.
Working alongside SGX, Asia’s multi-asset exchange, and the AWS Transit Gateway team, Aquis was successful in developing a proof of concept to show running matching and messaging in the cloud is a viable option. The project produced a cloud-native financial exchange that had very low latency with minimal jitter (level of consistency) while using multicasting technology (used to transmit data to a group of destinations simultaneously) in a manner consistent with a highly liquid and regulated environment.
SGX’s head of Digital Services for Fixed Income, Currencies and Commodities, Peter Shen said in a statement: “We have been an early adopter of public clouds for our platforms, and cloud-based matching engines have great potential to drive the next evolution in financial markets.”