Tora, a provider of electronic trading systems and access to liquidity for Asia, has deployed Trading Metrics software to measure and alert on trading latency.
Trading Metrics is a privately held company with venture-backed funding from Vantage Point Partners.
It is reported that the Trading Metrics software tracks all trades conducted through Tora Compass and measures the order receipt, order processing and exchange execution times with microsecond accuracy. Analysis, reports and alerts are automatically generated in real-time by the software and provided to Tora customers using Tora Compass. Over $25 billion in transactions are processed each month through Tora Compass, including over 25% of all electronic trading on the Tokyo Stock Exchange, said Trading Metrics.
Eric Sun, chief technology officer of Tora, said: Deploying Trading Metrics software provides us with the means to track trades processed by Tora Compass on an ‘end to end’ basis. Tora and our clients will benefit from the capability to analyze and report on the time each order is received, the speed at which each trade is processed by the broker, and the partial or complete execution speed of each exchange.
Jeff Drew, CEO of Trading Metrics, said: Our software allows brokers to separate and report on exchange delays versus order handling or brokerage delays. Execution management service providers and agency brokers want to establish quality of service levels in order to compete for order flows. To do this, they must measure and report trade execution speed while identifying delays that occur at the exchange, outside of the brokers’ or EMS application’s control.