Electronic TradingInfrastructure Provider

Deliver the Highest Quality of Service for Financial Markets Clients

Corvil for Infrastructure Providers

Corvil is regarded as the “best in class” solution by financial market participants and venues for monitoring, analyzing and assuring infrastructure health and performance. Therefore infrastructure service providers that use Corvil and provide reporting and service level agreements based on Corvil are viewed positively and more likely to win business from financial markets clients.

 

Outcomes

  • Competitively differentiate service offering for financial clients
  • Upsell higher grade services with trusted evidence of need
  • Assure latency SLAs of critical services e.g. market data distribution
  • Quickly respond to client queries about service quality issues
  • See all client activity and infrastructure performance in real-time
  • Slash time to troubleshoot and fix service quality problems

Our ability to manage and monitor all activity and incidents in real-time is critical to our business and to our clients' business. We use Corvil’s real-time IT data analytics platform to assure the highest quality of service for our clients.

Jarrod Yuster, CEO

Problem Overview

Financial markets clients are major consumers of connectivity, bandwidth, data and co-location services provided by infrastructure service providers. Critical applications for these services include order execution and market data distribution. Competition is tough in this market with an increasingly undifferentiated service offering. This often leads to price erosion and commoditization. In addition, service providers must keep up with exponentially increasing traffic volumes associated with these services. This requires constant upgrading of capacity without a corresponding increase in client revenue. Traditional NPM and APM tools used by service providers are not able to meet the unique needs of financial markets clients. These tools lack the granularity, analytics, and accuracy demanded by financial markets clients and information provided by service providers in terms of monitoring, SLAs, troubleshooting, and upgrade recommendations are often not trusted and/or ignored. Quite often the financial markets clients have Corvil installed and are able to tell more about the quality of the service than the provider themselves.

Challenges

  • Winning financial markets clients in the face of an increasingly undifferentiated business
  • Lowering risk of service impacting outage and improving time to fix problems
  • Managing escalating cost of keeping up with speed and capacity requirements
  • Meeting demands from clients to show transparency and compliance with SLAs

Our clients are looking for new ways to remove operational risk from their trading systems. The addition of Corvil’s solutions to our BT Radianz services offers clients greater insight into latency and network performance analytics that can impact their trading quality.

Jerry Hubbard, Managing Director

Solution Overview

Corvil taps into the packet data flowing through the service provider network providing a real-time authoritative view of all client and service traffic with nanosecond timestamped packet precision. Corvil passively captures, timestamps, decodes, correlates and analyzes the packet data flows, in real-time, with zero impact on the performance of the network. The result is a real-time picture of the latency, performance and capacity utilization of the client services and underlying network infrastructure. Operations personnel are alerted pro-actively when problems arise, and Corvil provides a sophisticated suite of analytics for detecting and troubleshooting specific issues related to financial markets clients e.g. microbursts, data gaps, relative latency, zero TCP window, one-way latency or loss. Corvil has comprehensive support for time synchronization including PTP, PPS and Corvil’s proprietary self-synchronization protocol.

Manage Clients

  • Demonstrate latency SLA compliance
  • Provide full transparency hop by hop
  • Quickly respond to client queries
  • Offer evidence of upgrade need

Manage IT Systems

  • Monitor latency of feeds hop by hop
  • Monitor latency of order flow hop by hop
  • Detect and report gaps in data feeds
  • Proactively alert clients to service issues

Manage Infrastructure

  • Monitor real-time microburst utilization
  • Detect service impacting loss events
  • Correctly determine bandwidth need
  • Quickly troubleshoot root cause

Managing Market Data Quality and Performance

Corvil provides full support for managing the quality and performance of market data with the ability to detect gaps, determine impact of microbursts and measure both absolute and relative latency for symbol updates or events in any feed. With support for all market data protocols globally, Corvil provides the most comprehensive off-the-shelf solution available for monitoring both order flow and market data within the broker environment.

Making Sure you Never Miss Order Flow

With client and venue sessions being added and removed on a weekly or daily basis, it can be hard to keep application and monitoring systems up to date. Client onboarding processes don’t always notify the technology teams of required changes to monitoring systems, leaving you with potential blind spots. Corvil auto-discovery handles this, ensuring that all client trading flows are automatically discovered, tagged and monitored. Configuration APIs allow you to proactively push knowledge of sessions into your Corvil deployment.

Right-Sizing your Systems so you are “Fast Enough”

Combining internal and external latency visibility, Corvil helps you determine how fast you need to be and pinpoints any bottlenecks that stand in your way. We provide comprehensive performance monitoring of external exchange latency, as well as hop-by-hop latency across internal processing stages, and across the networks that connect you to your markets and clients. And we analyze microburst workloads to help ensure that each network and application processing stage is correctly sized for optimal performance.

Trade Performance Analytics

Fill Rate

Order tracking state is used to monitor the success or failure of orders through the fill-rate calculation - the percentage of the request volume that was filled.

Tick To Order

Calculates the algorithm response latency – the time from receipt of the triggering tick to the transmission of the order.

Order To Tick

Calculates the venue response latency – the time from transmission of an order to receipt of tick update on the venue feed reflecting the trade.

Order Response

Calculates the venue order response latency – the time from transmission of an order to receipt of acknowledgment of the order from the venue.

Microburst Analysis

Calculates the volume of a specified metric for short-timescales, e.g. the number of messages received in 1ms.

Gap Detection

Track the sequence numbers of all multicast market data feeds, and use this tracking to report and alert on any gaps.

Relative Latency

Calculates the relative latency between two measured events with time-stamps from a common time reference.

Bandwidth Prediction

Calculates an estimate of the amount of bandwidth need to meet a quality of service objective for a given traffic load e.g. a market data feed.