Cinnober delivers enhanced version for LMEselect to meet record volumes
The world's premier base metal market and one of the most prominent commodity marketplaces, the London Metal Exchange (LME), has gone live with a new version of the electronic trading platform LMESelect.
LMESelect version 7, jointly developed by the LME, the Exchange's service delivery partner Xchanging and its technology provider Cinnober Financial Technology, will enable the LME to manage further increases in volumes. Trading to date this year is up more than 20 percent on 2010, itself a record year.
The decision to upgrade was based in large measure on this need to elevate performance to meet continually record-breaking volumes, as well as the wish to open up to algorithmic trading, which naturally brings in a vastly increased performance requirement both in terms of low latency as well as volumes. The upgrade also implies a number of configurable new order types that can be implemented and introduces a new FIX-based solution for market data that satisfies higher performance requirements, reduces costs and uses a standardized protocol.
"Our position as the premier base metal market in the world requires us to stay at the forefront of technology," said Michael Warren, CTO of the LME. "Our strategy is to always provide industry-leading performance and reliability. In addition, a constantly changing marketplace means being able to deliver new order types and face up to the demands of high-frequency trading."
"Our long-term partnership with Cinnober has paid off well over the years," Warren continuous. "LMESelect has continuously been enhanced and refined and our new performance and functionality implies that we are now well-prepared for the next set of market and technology challenges."
The partnership between Cinnober and the LME began back in 2003, when the Swedish supplier delivered its first version of the LMESelect platform, based on its proprietary TRADExpress technology. During this long partnership, electronic trading has grown from 2% to over 70% of the LME's market volume.
"The LME continually renews the commodity exchange business," said Nils-Robert Persson, Executive Chairman of Cinnober. "This is what being a prominent trading pioneer means - in their case combining centuries of business success with an unmatched clarity of vision. We're particularly proud to continue our close partnership with the LME, because the content of this upgrade - along with cost reductions - can't be found anywhere else in the commodity businesses."
Cinnober is the leading independent provider of marketplace and clearing technology, delivering solutions for trading, market data distribution, market surveillance, clearing and real-time risk management. The company has an impeccable track record of supplying advanced solutions to prominent trading venues and earlier this month Brazilian giant BM&FBOVESPA chose Cinnober as its technology partner for a huge multi-asset, post-trade and clearing project.
For further information, please contact:
Nils-Robert Persson,
Executive Chairman,
Cinnober Financial Technology
Tel. +46-(0)70 552 52 28
nils-robert.persson@cinnober.com (mailto:nils-robert.persson@cinnober.com)
Miriam Heywood
Press Officer
London Metal Exchange
Tel. +44 207 264 5538
miriam.heywood@lme.com (mailto:miriam.heywood@lme.com)
About London Metal Exchange (LME)
The London Metal Exchange is the world's premier base metals market. It aims to set the global standard for price risk management in metals and provide tools including futures and options contracts for aluminium, copper, tin, nickel, zinc, lead, aluminium alloy and NASAAC, steel billet and the minor metals - cobalt and molybdenum. In 2010, 120.3 million lots were traded at the LME, while the total value of trading on the Exchange was $11.63 trillion. At the close of the year 5.7m tonnes of material were held on LME warrant in 709 storage facilities across 39 locations internationally. http://www.lme.com (http://www.lme.com)
About Cinnober Financial Technology AB
Cinnober provides mission-critical solutions and services to leading trading and clearing venues. Cinnober's solutions are based on the TRADExpress(TM) Platform incorporating everything needed for mission-critical solutions in terms of performance, robustness and flexibility. The portfolio of offerings includes price discovery and matching, real-time risk management, clearing and settlement, data distribution and surveillance. Cinnober's customers include Alpha Trading Systems, Borsa Italiana, BM&FBOVESPA, Burgundy, Chicago Board Options Exchange, Deutsche Börse, Eurex, Hong Kong Mercantile Exchange, London Metal Exchange, Markit BOAT, NYSE Liffe, Stock Exchange of Thailand and Quadriserv. For additional information, please visit www.cinnober.com (http://www.cinnober.com).
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(i) the releases contained herein are protected by copyright and other applicable laws; and
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Source: Cinnober via Thomson Reuters ONE
