pillar trading technology platform - nyse · benefits of pillar . the optimum balance of...
TRANSCRIPT
Pillar Trading Technology Platform
April 30, 2015
Pillar Introduction Paul Adcock
2
Pillar
Pillar will create a single trading platform for all NYSE markets, eliminating non-essential market specific differences
3
Q3 2015 2017
NYSE Arca Equities
NYSE & NYSE MKT
NYSE Amex & Arca Options
Benefits of Pillar
The optimum balance of performance, reliability and simplicity empowers customers to trade more effectively through: › A single specification to connect to all of our equities and options markets › Reduced complexity › More efficient processing › Enhanced consistency, performance and resiliency › Simplified, harmonized order types, terminology, messaging across markets › Shorter time to market for ongoing enhancements › Suite of risk management tools
Ultimately results in enhanced market quality and investor confidence
4
Phase I Customer Migration Roadmap NYSE Arca Equities
5
Phase Scope Customer Behavior
Phase 1 Q3’15
• Existing Customer Gateways • Pillar Matching Engine
• Continue to connect to existing NYSE Arca
gateways and use existing messaging protocols
• Order type updates* • Order processing updates* • Auction processing updates*
Phase 1.1 TBA
• New NYSE Arca customer
gateways and connectivity
• Write to the new protocols • Establish new connectivity to NYSE Arca
* Refer to March 2, 2015 Pillar Trader Update on nyse.com/pillar for full description of changes.
Before and After Order Types
› New functionality › Deferred order types in Phase I › Additional order processing changes
6
Pillar Overview Scott Visconti
7
Current State
8
Trading Unit
Proprietary Data Feeds
UTP
Client Orders
Existing Client Binary Gateways
Orders From Clients Client
Orders
Existing Client FIX Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
Phase 1 – New Trading Units – Symbol Migration
9
Trading Unit
Proprietary Data Feeds
Pillar
Client Orders
Existing Client Binary Gateways
Orders From Clients Client
Orders
Existing Client FIX Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
New Systems
Trading Unit
Existing Systems
UTP
Migrated Symbols
Not Yet Migrated Symbols
Phase 1 – New Trading Units – Symbol Migration
10
Trading Unit
Proprietary Data Feeds
Pillar
Client Orders
Existing Client Binary Gateways
Orders From Clients Client
Orders
Existing Client FIX Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
New Systems
Trading Unit
Existing Systems
UTP
Migrated Symbols
Not Yet Migrated Symbols
Legacy Gateway Adapter
Phase 1 – New Trading Units – End State
11
Proprietary Data Feeds
Pillar
Client Orders
Existing Client Binary Gateways
Orders From Clients Client
Orders
Existing Client FIX Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
New Systems
Legacy Gateway Adapter
Trading Unit
Phase 1.1 - New Customer Gateways – Migration
12
Trading Unit
Proprietary Data Feeds
Pillar
Client Orders
New Pillar Client FIX & Binary Gateways
Orders From Clients Client
Orders
Existing Client FIX & Binary Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
New Systems
Legacy Gateway Adapter
Phase 2 – New Customer Gateways – End State
13
Trading Unit
Proprietary Data Feeds
Pillar
Client Orders
Pillar Client Binary Gateways
Orders From Clients Client
Orders
Pillar Client FIX Gateways
Orders From Clients
XDP Market Data To Clients SIP Market Data
To Clients
New Systems
CERT Testing July-August 2015
› Scope Orders accepted through FIX and Binary gateways Drop Copy reports available All order types accepted Outbound market data via XDP and test NMS Away routing supported for NYSE exchange Clearing through DTCC
› Testing Hours 4am – 9:30am Early Session 9:30am - 4pm Core Session 4pm – 8pm Late Session
› Support Firm testing support 8am-5pm
14
Industry Tests
› 2 Industry Tests – July ’15 / August ‘15 › Scope Full trading functionality on production systems Outbound market data via XDP and SIP Away routing supported for NYSE exchange Clearing through DTCC
› Support Support bridge RM support available
15
Standardizing Market Data Paul Taylor
16
XDP Standardizes Data Across all Markets
XDP
NYSE/ NYSE MKT
NYSE Arca
NYSE Amex &
Arca Options
17
Benefits of XDP
› Easier feed handling Easier adoption of new feeds Easier entry into new markets
› Easier to make changes and upgrades › Better resilience › Better performance › Better format More compact More consistent Less redundant
18
Key XDP Migrations to a Standard Platform
19
Existing Q2
2015 Q3
2015 Q4
2015 2016 2017
NYSE NYSE MKT
Pillar Phase 1 Integrated 2.0 OB Ultra OB Aggregated Trades Trades Parallel Period Trades Final BBO Parallel Period BBO Final
NYSE Arca
Pillar Phase 1 Pillar Phase 2 Integrated 1.0 Integrated 2.0 ArcaBook Trades Trades Final BBO BBO Final
NYSE Amex Options Legacy Options Data XDP Options NYSE Arca Options Legacy Options Data XDP Options
XDP format and infrastructure
XDP Infrastructure, but no changes in output format
Legacy format
Customer Testing
Certification Testing • Continuous playback scenarios
from QA test cases
• For NYSE/MKT Integrated releases • Completion of testing is a
prerequisite to production access • See
http://www.nyxdata.com/nysedata/Default.aspx?tabid=1372
• For other product releases testing is strongly encouraged
• Simulated Trading
Production Testing Last several Saturdays before a cutover • Failover tests • Stress tests • Simulated Trading
20
Closing Comments Q&A Paul Adcock
21
Future Information
Information on Pillar will be posted to nyse.com/pillar. If you would like to receive future emails regarding Pillar and other NYSE topics, please register for our mailing list at nyse.com/subscriptions.
22