Transcription
April 30, 2015PillarTrading Technology Platform
Pillar IntroductionPaul Adcock2
PillarPillar will create a single trading platform for all NYSE markets,eliminating non-essential market specific differencesNYSE ArcaEquitiesQ3 20153NYSE &NYSE MKTNYSE Amex& ArcaOptions2017
Benefits of PillarThe optimum balance of performance, reliability and simplicityempowers customers to trade more effectively through:›››››››A single specification to connect to all of our equities and options marketsReduced complexityMore efficient processingEnhanced consistency, performance and resiliencySimplified, harmonized order types, terminology, messaging across marketsShorter time to market for ongoing enhancementsSuite of risk management toolsUltimately results in enhanced market quality and investor confidence4
Phase I Customer Migration RoadmapNYSE Arca EquitiesPhaseScope Existing Customer Gateways Pillar Matching Engine Continue to connect to existing NYSE Arcagateways and use existing messagingprotocols Order type updates* Order processing updates* Auction processing updates* New NYSE Arca customergateways and connectivity Write to the new protocols Establish new connectivity to NYSE ArcaPhase 1Q3’15Phase 1.1TBACustomer Behavior* Refer to March 2, 2015 Pillar Trader Update on nyse.com/pillar for full description of changes.5
Before and After Order Types›››6New functionalityDeferred order types in Phase IAdditional order processing changes
Pillar OverviewScott Visconti7
Current StateExisting Client FIX GatewaysOrdersFrom ClientsClientOrdersUTPMarket DataTo ClientsClientOrdersOrdersFrom ClientsTradingUnitSIPXDPProprietary Data Feeds8Existing Client Binary GatewaysMarket DataTo Clients
Phase 1 – New Trading Units – Symbol MigrationExisting Client FIX GatewaysOrdersFrom ClientsClientOrdersNot Yet Migrated SymbolsExisting Client Binary GatewaysClientOrdersOrdersFrom ClientsMigrated SymbolsNew SystemsExisting SystemsPillarUTPTradingUnitMarket DataTo ClientsXDPProprietary Data Feeds9TradingUnitSIPMarket DataTo Clients
Phase 1 – New Trading Units – Symbol MigrationExisting Client FIX GatewaysOrdersFrom ClientsClientOrdersNot Yet Migrated SymbolsExisting Client Binary GatewaysClientOrdersOrdersFrom ClientsMigrated SymbolsNew SystemsExisting SystemsLegacy Gateway AdapterPillarUTPTradingUnitMarket DataTo ClientsXDPProprietary Data Feeds10TradingUnitSIPMarket DataTo Clients
Phase 1 – New Trading Units – End StateExisting Client FIX GatewaysOrdersFrom ClientsExisting Client Binary GatewaysClientOrdersClientOrdersOrdersFrom ClientsLegacy Gateway AdapterPillarTradingUnitNew SystemsMarket DataTo ClientsSIPXDPProprietary Data Feeds11Market DataTo Clients
Phase 1.1 - New Customer Gateways – MigrationExisting Client FIX & Binary GatewaysOrdersFrom ClientsClientOrdersNew Pillar Client FIX & Binary GatewaysClientOrdersOrdersFrom ClientsLegacy Gateway AdapterPillarTradingUnitNew SystemsMarket DataTo ClientsSIPXDPProprietary Data Feeds12Market DataTo Clients
Phase 2 – New Customer Gateways – End StateNew SystemsPillar Client FIX GatewaysOrdersFrom ClientsPillar Client Binary GatewaysClientOrdersOrdersFrom ClientsClientOrdersPillarTradingUnitMarket DataTo ClientsSIPXDPProprietary Data Feeds13Market DataTo Clients
CERT Testing July-August 201514›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
Industry Tests›››152 Industry Tests – July ’15 / August ‘15Scope Full trading functionality on production systems Outbound market data via XDP and SIP Away routing supported for NYSE exchange Clearing through DTCCSupport Support bridge RM support available
Standardizing Market DataPaul Taylor16
XDP Standardizes Data Across all MarketsNYSE/NYSEMKTXDPNYSEAmex &ArcaOptions17NYSEArca
Benefits of XDP›Easier feed handling Easier adoption of new feeds Easier entry into new markets››››Easier to make changes and upgradesBetter resilienceBetter performanceBetter format More compact More consistent Less redundant18
Key XDP Migrations to a Standard PlatformQ22015ExistingQ32015Q420152016Pillar Phase 12017Integrated 2.0NYSENYSE MKTNYSE ArcaOB UltraOB AggregatedTradesTrades Parallel PeriodTrades FinalBBO Parallel PeriodBBO FinalPillar Phase 1Integrated 1.0ArcaBookTradesBBONYSE AmexOptionsLegacy Options DataNYSE ArcaOptionsLegacy Options DataLegacy formatXDP format and infrastructureXDP Infrastructure, but no changes in output format19XDP OptionsXDP OptionsPillar Phase 2Integrated 2.0Trades FinalBBO Final
Customer TestingCertification Testing Continuous playback scenariosfrom QA test cases For NYSE/MKT Integrated releases Completion of testing is aprerequisite to production access bid 1372 For other product releases testing isstrongly encouraged Simulated Trading20Production TestingLast several Saturdays before acutover Failover tests Stress tests Simulated Trading
Closing CommentsQ&APaul Adcock21
Future InformationInformation on Pillar will be posted to nyse.com/pillar.If you would like to receive future emails regarding Pillar and other NYSE topics, pleaseregister for our mailing list at nyse.com/subscriptions.22
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 resili
