Investor Presentaiton
•
Industry Trends: A Race to Zero
KEY DEVELOPMENTS
THE Nigerian
STOCK EXCHANGE
ORDER BOOK CAPACITY
Requirements to act on changes in the market near
real-time has led to the Race to Zero
NYSE Euronext
(US Options)
38,000
1,000,000
• Market participants look to optimize the time
required to access market data and initiate and
execute a trade
• As network providers continue to reduce latency and
increase availability, many exchanges have - in turn -
optimized their order/trade and market data
protocols
•
This has also led to the evolution of exchanges
towards the offering of trading-related IT services that
facilitate automated trading and an increased focus
on facilitating trading by for example allowing market
participants to host physical servers in the same data
center as the trading/ matching engines
Accordingly, several exchanges have undergone
substantial technology upgrades in order to increase
their order book capacity measured by Orders Per
Minute (OPMs) as shown in the graph to the right
18-Junel-2013
18,000
LSE
500,000
3,000
Tokyo SE
410,000
30,000
Nasdaq OMX
250,000
Before Upgrade
15,000
Hong Kong EX
120,000
After Upgrade
20,000
ASX Trade
100,000
Nigeria
1,000
Before: ~10,000
Bombay SE
30,000
200
JSE
30,000
0
1,500,000
*Source: KPMG - Winning platforms, 2012
The Nigerian Stock Exchange
After Upgrade: >250,000
1,000,000
500,000
Orders Per Minute (OPM)View entire presentation