DGCX to enhance its trading and clearing platform
New platform to provide superior transaction speed, increased reliability and scalability
Enhancements designed to attract new institutional, retail and high frequency traders
Platform scheduled to go live in December 2012
Dubai Gold & Commodities Exchange (DGCX) has announced its partnership with leading global trading technology provider, Cinnober Financial Technology. Cinnober will provide a new exchange infrastructure for DGCX that promises to significantly enhance the Exchange’s derivatives trading marketplace. The exchange infrastructure is scheduled to go live in December 2012 following a phased implementation.
Cinnober’s latest technology will significantly benefit DGCX’s growing Member community by providing superior transaction speed, efficient means to access liquidity, and increased reliability and scalability that support their increasingly sophisticated trading and clearing requirements. The new platform will also provide Members with a cutting-edge trading interface and state-of-the-art functionalities. Members of both the Exchange and Clearing House will also be able to monitor risk in real time.
Ahmed Bin Sulayem, Chairman of Dubai Gold & Commodities Exchange said: “This represents a major milestone in the development of the DGCX trading and clearing platform. The new system will give DGCX the very latest, innovative technology that will support our plans to create the region’s most advanced derivatives marketplace and increase the portfolio of products for our Members.”
Gary Anderson, CEO of Dubai Gold & Commodities Exchange, commented: “The advanced new platform will support the requirements of new DGCX products, such as the recently announced Copper Futures, the increasing global participation of high frequency traders (HFTs) whilst also attracting both regional and global overseas liquidity pools to compete on a global stage. The upgrade will also facilitate world-class risk-management, surveillance and clearing capabilities and provide the necessary implied spreads facility, together with the processing capacity needed to manage the growing volumes expected from HFTs.”
Anderson further said: “Members will continue to have our full support with the existing technology throughout the implementation phase. Financial Technologies India Ltd (FTIL) has played an important role in the growth of DGCX and we would like to thank them for their support over the last seven years.”
DGCX’s new technology infrastructure will be tailored to support Member requirements. The core trading and clearing applications are built upon Cinnober’s TRADExpress platform. Based on Java, it has a fully redundant and scalable architecture that delivers market-leading functionality, speed and throughput capacity. Cinnober will also provide DGCX with Scila Surveillance, a leading market surveillance system.
Commenting on the partnership agreement, Javier Tordable, CEO of Cinnober, said: “DGCX has ambitious growth plans in the coming years and we are confident that our TRADExpress platform will support the expected volume growth and the launch of new and innovative products. Our partnership will ensure the DGCX continues to play a leading role in the development of the regional derivatives market.”
Sweden-based Cinnober is a major global supplier of mission-critical solutions and services within trading, clearing and surveillance to leading trading and clearing venues. Customers include major trading and clearing venues in Europe and North America such as Alpha Exchange, Chicago Board Options Exchange, Deutsche Börse, London Metal Exchange and NYSE Liffe. In the past year Cinnober has increased its global presence while signing new contracts with emerging markets and with players such as BMF&FBOVESPA in Brazil as well as the Stock Exchange of Thailand and the Qatar Exchange.