IBM has announced that its ultra low latency market data feed handler software will be used by the Bolsa de Comercio de Santiago (BCS) to deliver market data to investors around the world.
WebSphere Front Office (WFO) for Financial Markets is software that helps financial institutions and service providers integrate more than a hundred direct and consolidated sources of market data and conduct transactions with extreme low latency in today’s fast moving and volatile markets. It combines ultra-low latency messaging technology developed in IBM labs with highly scalable platform and feed handler technology derived from the company’s acquisition of InfoDyne Corporation.
Among the financial institutions adopting WebSphere Front Office on a large scale is Bolsa de Comercio de Santiago, Chile’s central stock exchange. The Bolsa has taken two major steps recently to meet its goal of attracting greater liquidity to Chile and other Latin American countries. First, the Bolsa forged a relationship with the Brazilian Securities, Commodities and Futures Exchange (BM&FBovespa), the largest exchange in Latin America. More recently, it teamed with the stock exchanges of Colombia and Peru to form the Integrated Latin American Market, which began operations in June. The new exchange is now Latin America’s second largest.
These moves are opening Chile to more foreign investment by allowing investors outside the country to invest in stocks that are not listed on their domestic markets. As a result, the Bolsa expects to increase its message volume – the amount of market data being transmitted – from 500,000 per month today to approximately 6 million per day by 2012. The Bolsa has been using components of IBM’s Framework for Financial Services to advance its trading platform to meet regulatory requirements and improve performance. In particular, the Bolsa is relying on WebSphere Front Office to provide the market data infrastructure the brokerage community needs to make informed investment decisions. The WFO software will run on IBM System x servers and will distribute data to both co-located and remote access applications and users.
IBM’s Financial Markets Framework, of which WebSphere Front Office for Financial Markets is a part, helps clients build an integrated platform for all of their operations based on industry standards. They combine IBM’s entire software portfolio including WebSphere, Lotus, Information Management, Tivoli and Rational products and full range of IBM server and storage products, industry-specific offerings and consulting expertise of IBM Global Business Services.