BME Direct Market Access Services the fastest direct access for non member firms



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BME Direct Market Access Services the fastest direct access for non member firms BME, through its subsidiary Visual Trader, offers the fastest direct access to the SIBE-Smart platform (Spanish Cash Market) for non-member firms: the nanodriver interface. nanodriver interface Functional Description Direct Access to SIBE-Smart matching engine. Native market protocol. BME row data feed straight from SIBE-Smart - Zero added latency - No cost if used only for trading purposes Complementary services Connection to BME Data Center in Madrid through BME HUBS in London - Lowest latency - Low communication cost for trading firms Administrative support in the communication with BME different departments. Continuous monitoring of the system at SW, HW and Network level. Developing and Testing assistance. In this brochure you will find detailed information on these services. Please, contact us and we will provide you with further details: salesvt@grupobme.es, +34 91 709 5731 1

nanodriver interface The nanodriver interface is a direct access to the SIBE Smart matching engine for non member firms, allowing them to trade in the market through the member of their choice. Latency Non member firms using the nanodriver interface have the same architecture to connect to the matching engine as the one used by the member firms: nanodriver does not include additional hardware or software elements. Passing a set of filters is mandatory for any order sent to the SIBE-Smart, no matter if the order comes from a member or a non member firm. The key factor of the nanodriver lies in the ultrahigh speed algorithm developed by Visual Trader for passing the filters: 1. The filters setup by the receiving member are checked within the SIBE-Smart Gate (SIBE Smart Gate is the computer equipment provided by the Exchange to access the matching engine). 2. The latency added to an order by the nanodriver filter algorithm varies from 29 nanoseconds to 1.4 microseconds (see the table below), depending on the load of the system. Thus, the high performance of the nanodriver makes it possible for non member firms to have the same quality of access to the market (or even better quality if we consider some commercial solutions available) as a member access. Protocol Non member firms connect to the SIBE- Smart Gate following the native market specifications (FIX 5.0), just 2

as a member with a direct connection does. Filters Monitor For control purposes, a nanodriver Terminal is installed at the member premises. It is a Windows application that allows the member to control its clients operations, limiting or blocking orders if necessary. This terminal does not add on latency on clients orders, because the management takes place through an auxiliary service, the nanofilters Manager Service, running on the same computer as the Gate and the nanofilters Library. A SIBE-Smart Gate equipment will be dedicated to each member for the exclusive purpose of runing one or more nanodrivers interfaces. For backup purposes, the nanodriver will be installed in two SIBE-Smart Gate equipments: the main one for exclusive use of the member and a second one shared with others members. Both will be located at BME DataCenter main site (Las Rozas), managed by Visual Trader. The member can ask for an additional SIBE-Smart Gate s to be installed in the BME DataCenter DR site (Lealtad) for disaster recovering purpose. nanodriver latency Benchmark The benchmark was run on one of the machines to be used in the production environment. The outcome was obtained through a benchmark program which runs iterations, making a block of calls to the nanofilters library functions in each iteration. Each library call represents the processing associated with the validation of a new order or modification. Cancellations were not included in the benchmark, as their latency is less than that for an order or modification. The order data (security, price, etc.) is changed in each library call, so that the access to the filters resembles the real situation in a production setting. The number of calls (orders) per iteration increases as the test progresses. When the number of calls per iteration is low, the call is repeated several times so that the total number of orders entered is 300 and the average latency is calculated for the 300 calls. Benchmark Results The first calls in each iteration require the loading of the data needed to carry out the filtering into the processor cache. Once the data are in the processor memory, successive calls are resolved faster. Therefore: Filtering is faster as more orders are processed per block. A significant reduction in latency is seen when the number of calls to the library within an iteration increases. 3

average latency blocks average latency 300 1 2336.15 100 3 780.636 60 5 513.217 30 10 322.736 20 15 239.003 10 30 166.341 5 60 130.566 3 100 115.635 2 150 108.348 1 300 102.952 1 500 91.712 1 1000 81.604 1 10000 62.77 Although not shown in the statistics, the average time remains around 60 nanoseconds with a greater number of, which is, therefore, the best time possible under the conditions for this benchmark. average latency No. Of blocks average latency 300 1 1492.36 100 3 516.218 60 5 342.302 30 10 194.795 20 15 142.483 10 30 94.984 5 60 73.252 3 100 62.67 2 150 56.925 1 300 30.302 1 500 30.152 1 1000 30.043 1 10000 29.827 4

Lines London-Madrid BME offers two hubs in London to access to its services. Equipped with the necessary communication infrastructure, the hubs allow investors to connect to BME in a fast and reliable manner. The BME London HUB is installed at Interxion and Telehouse: London Blue Interxion, 11 Hanbury Street, London E1 6QR (primary site). London Red Telehouse, Coriander Avenue, London E14 2AA (secondary site). The latency between BME site and the BME London HUB is 13.7 ms (one way). Through the BME London HUB it is possible to connect to the following BME services: BME MARKET DATA (Data feed reception) MEFF (Direct connection as a member) SIBE SMART (as a member or through the NANODRIVER solution) Visual Trader platform 5