Financial Market Data Packet Offloading for Lower-Latency Trading
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Existing electronic trading platforms face challenges in minimizing latency, space, and power consumption while processing large volumes of financial market data, as they require significant computational resources for data consumption, normalization, aggregation, and distribution.
Innovation Solution
Offloading processing tasks such as market data consumption, normalization, aggregation, and distribution to network elements like intelligent feed switches and distribution switches, utilizing reconfigurable hardware devices and co-processors to reduce the burden on the electronic trading platform.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Loss of time
If processing tasks are performed on the electronic trading platform, then data processing capability is maintained, but latency increases and system resources are consumed
Solution Approach 1:
The patent extracts processing tasks from the electronic trading platform and relocates them to network elements such as intelligent feed switches and distribution switches. This separation removes the processing burden from the trading platform, reducing latency for consuming applications while maintaining the necessary data processing capability through the offloaded network elements.
2Productivity
If more computational resources are allocated for data processing, then processing capacity increases, but power consumption and space requirements increase
Solution Approach 1:
The patent merges data processing functionality into network elements that already exist in the data feed architecture. By combining processing capabilities with the feed switch and distribution switch infrastructure, the system achieves additional processing capacity without proportionally increasing power consumption and space requirements, as these network elements serve multiple functions.
3Productivity
If processing tasks are offloaded to network elements, then latency is reduced and throughput increases, but network element complexity increases
Solution Approach 1:
The patent implements multi-functionality in network elements by enabling them to perform both their traditional switching/distribution functions and new data processing functions. The intelligent feed switch and distribution switches handle packet routing, filtering, normalization, and distribution simultaneously, reducing the need for separate dedicated processing hardware and thereby limiting the increase in overall system complexity.
Data Source
AI summary
Various techniques are disclosed for offloading the processing of data packets that contain financial market data. For example, data packets that contain financial market data can be processed through an offload processor deployed in a network element of a data distribution network to link the data packets with appropriate parsing metadata for the data packets. The network element can be an intelligent switch, such as an intelligent switch upstream or downstream from an electronic trading platform.