low latency trading on the Singapore exchange

#1
Hello Community!
This is my first post on a surprisingly interesting community. I am interested in high frequency trading on the Singapore exchange, from India. I am curious if any of you are already doing it or have the knowledge of what are the some of the best options to do that. I am in NCR area and open to any suggestions on prop trading shops that might already have the setup in north india.
Also, I am looking into spawning my own prop. shop, if I cannot find an existing one, that trades on SGX and would let me develop and run my algorithms. Therefore, it would be great if someone can shed light onto follownig resource requirement for a new prop trading firm:

1. Ultra low latency data vendors (for data from SGX, CME etc.) available in India?
2. Order management gateway software/platofrm
3. Lowest latency broker- the broker that would route the order to SGX and clear the trades as well.

I know I would also need some powerful hardware but am I missing anything else? Please suggest.


Thanks
 
#3
Hello Community!
This is my first post on a surprisingly interesting community. I am interested in high frequency trading on the Singapore exchange, from India. I am curious if any of you are already doing it or have the knowledge of what are the some of the best options to do that. I am in NCR area and open to any suggestions on prop trading shops that might already have the setup in north india.
Also, I am looking into spawning my own prop. shop, if I cannot find an existing one, that trades on SGX and would let me develop and run my algorithms. Therefore, it would be great if someone can shed light onto follownig resource requirement for a new prop trading firm:

1. Ultra low latency data vendors (for data from SGX, CME etc.) available in India?
2. Order management gateway software/platofrm
3. Lowest latency broker- the broker that would route the order to SGX and clear the trades as well.

I know I would also need some powerful hardware but am I missing anything else? Please suggest.


Thanks
I hope you are not serious about setting up a HFT system unless you have worked on these at a bank/institution. HFT is very different than scalping or swing trading. It is an area of study by itself.
Here is a rough idea of what you are up against:
1. your competition has Colocated servers vs you plan on setting up in India ?
2. Ultra low latency equipment. Some cost upwards of 150K USD. Can you invest that kind of money?
3. Custom written OS kernels for squeezing milliseconds from network stacks. They wont use Windows Vista or Linux :) Do you have this?
4. DO you understand market structure in general and on SGX? Do you know how dark pools and liquidity seeking works? How about flash orders? How about liquidity vaccums?
5. You will typically not work through a broker right for HFT?

BTW, are you going to be a market maker or a liquidity consumer? The ability to answer that question will decide wether you should even consider pushing money into a HFT setup. That answer will also setup your system requirement.

Please understand that your competition will have consumed liquidity at price levels by the time you even see prices in India. You will be trading on stale data, aka prices will have changed by the time you see them.

Of course I am silly noob and I could be completely off base. Best of luck with your HFT interests.
 
#4
I hope you are not serious about setting up a HFT system unless you have worked on these at a bank/institution. HFT is very different than scalping or swing trading. It is an area of study by itself.
Here is a rough idea of what you are up against:
1. your competition has Colocated servers vs you plan on setting up in India ?
2. Ultra low latency equipment. Some cost upwards of 150K USD. Can you invest that kind of money?
3. Custom written OS kernels for squeezing milliseconds from network stacks. They wont use Windows Vista or Linux :) Do you have this?
4. DO you understand market structure in general and on SGX? Do you know how dark pools and liquidity seeking works? How about flash orders? How about liquidity vaccums?
5. You will typically not work through a broker right for HFT?

BTW, are you going to be a market maker or a liquidity consumer? The ability to answer that question will decide wether you should even consider pushing money into a HFT setup. That answer will also setup your system requirement.

Please understand that your competition will have consumed liquidity at price levels by the time you even see prices in India. You will be trading on stale data, aka prices will have changed by the time you see them.

Of course I am silly noob and I could be completely off base. Best of luck with your HFT interests.

Thanks for your reply and sharing your insight, Gaurishh...I would have to acknowledge and appreciate your depth of you knowledge about the HFT world.:clapping:
I know I am against many odds for trading on SGX from India and that is why I would love to work for a prop trading or brokerage etc who might have such an infrastructure in place already. I am not tyring to self-praise but having worked in HFT arena for about 10 years, I am kind of positive that it could be done. I am just trying to find out if and how it can be done from India. There are subjective definitions of HFT but I am not looking into ultra high frequency(scalping and would mostly have passive orders (liquidity provider).
In any case, since you seem to be pretty insightful, would you please shre what would be the easiet way to venture ito this, in India. What sort of institutions/firms may be doing that already?
 
#5
Thanks for your reply and sharing your insight, Gaurishh...I would have to acknowledge and appreciate your depth of you knowledge about the HFT world
I know I am against many odds for trading on SGX from India and that is why I would love to work for a prop trading or brokerage etc who might have such an infrastructure in place already. I am not tyring to self-praise but having worked in HFT arena for about 10 years, I am kind of positive that it could be done. I am just trying to find out if and how it can be done from India. There are subjective definitions of HFT but I am not looking into ultra high frequency(scalping and would mostly have passive orders (liquidity provider).
In any case, since you seem to be pretty insightful, would you please shre what would be the easiet way to venture ito this, in India. What sort of institutions/firms may be doing that already?
Hi buddy,
Caveat emptor on any advice I give out :)
You have me confused now. Are you looking to work for a HFT outfit as a systems developer / analyst / quant etc? Perhaps you know a specific part of the market and have an edge - a great idea would be to work with a smart team to implement etc. Which is why you are looking for a group of people already working on scalping instruments on the SGX ( not HFT on SGX)?

I had written a long post but kept revising - I finally came to realize that what I am refering to as HFT is different from what you are refering to. Can you PM me a brief idea of what you are trying to do? I think what you are looking to do is inject Limit orders at specific points based on OF? You are not speaking of being a formal MM? No reward for providing liquidity right?

For true MM / HFT - You should consider working with the newer exchanges , they are very amenable to all sorts of things if you know the right people ;) Perhaps you know someone at the SGX........ ;)
Truth be told, it would be easier ( regulation wise ) for you to work within India. Managing capital would also be easier (legally).

You shouldnt think of being a MM unless you have a TON of capital. A MM can carry in excess of 200 MUSD in inventory at times(and that in normal times without one sided OF). I am not even referring to large SMMs here.

Which brings me back to my point? Are you looking to develop a automated scalping system (retail style) or truly a MM?

Also have you worked in a MM or interbank SMM?OTC? Liquidity and everything around liquidity is totally different for various enviroments. Is there something specific in the SGX that interests you?

I cant help you unless I understand what it is you are trying to do - what you call HFT is not what I understand as HFT. I might be able to hook you up with the right people if I do not understand what it is you are trying to do. But be aware that the HFT world is very secretive - gaining information is VERY hard. So no promises on the networking, but I will try.
 
#6
Thanks for your reply and sharing your insight, Gaurishh...I would have to acknowledge and appreciate your depth of you knowledge about the HFT world.:clapping:
I know I am against many odds for trading on SGX from India and that is why I would love to work for a prop trading or brokerage etc who might have such an infrastructure in place already. I am not tyring to self-praise but having worked in HFT arena for about 10 years, I am kind of positive that it could be done. I am just trying to find out if and how it can be done from India. There are subjective definitions of HFT but I am not looking into ultra high frequency(scalping and would mostly have passive orders (liquidity provider).
In any case, since you seem to be pretty insightful, would you please shre what would be the easiet way to venture ito this, in India. What sort of institutions/firms may be doing that already?
Would you be involved in some naughty HFT liquidity provisioning ( you know as in flash ****, detection...) ;) Yummy, yummy, me likes frontrunning. It suddenly occured to me what you might be thinking of. Sorry, my current context is consuming liquidity, so anyone playing the liquidity provider angle confuses me. A little thick in the head I am :)

Fire away dude, I think we are on the same page now.

BTW, you really must have a big edge on playing MM for exchanges. Those buggers have parasitic colocated *******. Not much fun this trading game these days is it?
 

trader21

Active Member
#7
Hi guys... I guess there are pseudo-specialists or market makers on nse as well. Ofcourse I'm not in a position to have my own colocated server but have some experience in liquidity provisioning on nyse... so similarly looking for support to venture on domestic exchange.
 
#9
I work for company who provides market data for CME. We provide hosting facilities for North American Exchanges. We are in the process of setting up POP in SGX. We can host servers for you and have you connected to it either using VPN or lease line from Delhi.

Trading software:Trading Technologies windows based...RTS (Real Time system)....ORC....Rithmic....

You can put your own orders and clear thru clearing firms....we can take care of connectivity between clearing firm and your servers so they can set your limits....


We can provide low latency Market data for CME, ICE, LIFFE, EUREX, Montreal, and many more NorthAmerican and European exchanges.....
 
#10
Sure, jshah9, pl send me a private message and/or enable your settings so that I am able to send you a private message...and we can discuss how to proceed further. Thx
 

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