The second is “co-location” which is a high-cost facility that places trading computers in close proximity to the exchange servers. It saves time for exchanging data. The third requirement is Reale https://npfinancials.com.au/-time data feeds and last but not least, the heart of the HFT that is computer algorithms.
High-frequency Trading Server types on the basis of processors used?
The type of processor used in the High-frequency Trading Server becoming a decisive factor regarding the performance. In order to analyze the minute price changes and executing trade orders, computers use the algorithm. As we know the faster we are able to run trading algorithms, the higher the chance to win over the competition.
X-86-based
x86 is the common name given to Intel processors. It is called so because this version of the processor is released after the original 8086 processor. For high-computing applications such as AI and data analytics workloads, x86 processors are well suited. That is those High-frequency Trading Server that is X-86-based carry out computing executions at a faster rate.
The performance of HFT-optimized servers with x86 dual processors can be boosted by the Supermicro platform. The board-level control, circuitry enhancements, and custom-tailored cooling systems of this server helps in achieving the highest sustained performance.
ARM-based
An ARM processor is developed by Advanced RISC Machines (ARM).it is one of a family of CPUs that are based on the reduced instruction set computer (RISC) architecture. The design of ARM processors is very simple.
It supports more efficient multi-core processing and developers also find it easy in coding. ARM-based high-frequency Trading Server increased the speed and minimize latency. As we know the faster we are able to run trading algorithms for analyzing price changes, there will greater the probability to win over the competition.
What are the applications of a High-frequency Trading Server?