Colombian Exchange Promotes High-Frequency Trading
July 23, 2010
The Colombian Stock Exchange has tapped U.K. technology firm Rapid Addition to help drive high-frequency trading in the country.
The Bolsa de Valores de Colombia has installed Rapid Addition’s GRHub, an order routing system which uses Financial Information eXchange (FIX) protocol messages. Also installed is u-Trader, a FIX-enabled trading system which supports direct market access and algorithmic trading.
The BVC said it chose London-based Rapid Edition on its ability to exceed the low latency performance requirements of the exchange’s members.
“We wish to send a clear message to the community that we are totally committed to providing a fully modernized, state-of-the-art solution for the Colombian securities market,” says BVC’s vice president of technology Jitendra Puri. “Rapid Addition’s expertise in the global FIX connectivity and low-latency FIX trading technology made it the best choices for the BVC as we look to expand our offerings internationally.”
Colombia is the latest among Latin American countries seeking expansion of low-latency order flow through the entrance of foreign firms and technology providers; the two others are Brazil, the region’s largest market, and Mexico.
Over the past year, Bank of America Merrill Lynch, Credit Suisse, Goldman Sachs and UBS have all launched electronic services, including algorithmic trading strategies, in Brazil.
In March 2010 Link Investimentos, the largest independent brokerage house in Brazil signed up to use Progress Apama’s Algorithmic Trading platform so Link’s clients can create test and implement customized trading strategies on Brazil’s BM&F Bovespa exchange. Morgan Stanley has offered electronic services in Mexico since last July.
