Nasdaq OMX has selected Equinix to provide data centre support for its new European derivatives market.
Equinix will host the new NLX derivatives market from its London LD4/LD5 International Business Exchange data centre campus, positioning the electronic trading system next to over 170 interconnected financial services customers, Equinix said.
NLX will provide short-term and long-term listed interest rate derivatives products in sterling and euro currencies, launching on Platform Equinix, a service which links over 700 trading venues and technology service providers across international financial markets.
The NLX trading platform was announced by Nasdaq OMX last year and is currently subject to approval by the financial Service Authority. NLX will use NASDAQ OMX's low latency Genium INET system, as its attempts to create a strong presence in the UK market and attract traders.
“We are delighted to extend our relationship with NASDAQ OMX from the US into Europe for this major new market,” said Russell Poole, managing director at Equinix.
“Our depth of experience of exchange deployments around the world and the built-in advantages offered by our financial services ecosystem will help NLX to quickly establish itself in the fixed-income derivatives space.”
Charlotte Crosswell, NLX chief executive officer, commented that Equinix would enable the company to quickly connect to key trading companies.
“NLX is designed to be an efficient and easily accessible market,” said Charlotte Crosswell, chief executive officer, NLX. “We want to ensure that our market participants have seamless and reliable access to NLX via familiar and trusted suppliers.”
"Equinix provides an established ecosystem with key market participants already connected.”
“Those participants will be able to benefit from NLX’s lower fees, ability to trade both ends of the curve on one market and the cross-margin efficiencies offered by all products at LCH.Clearnet.”
BT announced in April that it would use Equinix data centres for it cloud-based Radianz Venue service, providing low latency hosting for traders around the world.
Last week Nasdaq OMX unveiled plans to create a new Global Technology Solutions software unit as it merges two parts of its business, also appointing a new chief information officer.