3 ms·
You're correct, co-location at the exchange data centre is indeed a requirement for most HFT firms. I think (but I'm not 100% sure) that the length of network
by shogunmike 13y ago
You're correct, co-location at the exchange data centre is indeed a requirement for most HFT firms.
I think (but I'm not 100% sure) that the length of network cabling is also tightly regulated at many exchanges so that nobody gains an advantage in that manner. If anybody has more insight into this, I'd love to hear about it.
- gedrap 13y agoThat's correct. All the servers are connected using the same length cable so that the server at one corner won't receive the data a tiny bit faster than a server at the far corner. So there are simply plenty of unused cable next to the machines.