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Financial markets data optimization from IBM

Executive summary Business view Technical details
The issues
Meet data optimization challenges
Data is critical to your business. It touches practically every operation—front-, middle- and back-office. Changes in the financial markets industry have left many firms to deal with costly fragmented or sub-optimized IT, aging infrastructures, data silos and highly decentralized data stores. Business challenges have added significant stress on existing data management platforms, resulting in marked changes in technology processes. Our financial markets data optimization solution can help.

The benchmark
Innovative thinking, rapid execution
Our proven and reliable, industry-standard technology enables our financial markets data optimization solution to meet today’s needs but also provides considerable flexibility to accommodate change in the future. We offer:
  • Integration and application infrastructure software like IBM WebSphere™, used by 60,000 customers worldwide, including 15 top Wall Street brokerage firms.
  • More than 7,000 consultants in 160 countries dedicated to the Financial Services industry.
  • Information on demand using the power of integrated information—IBM DB2™ solutions process 7.7 billion transactions every day, managing 70% of the world's corporate data, 24x7x365.

The components
Transform market data optimization
Issues of data quality and standardization have had a tremendous detrimental impact on the financial markets industry’s ability to provide accurate and timely data. IBM provides both the expertise and the components required to deliver a phased approach for transforming your market data management. Components can include:
  • IBM WebSphere Business Integration Event Broker—lets you rapidly build a flexible, extensible and security-rich infrastructure that leverages applications and devices across heterogeneous platforms; distributes virtual real-time information from disparate sources through a network of access points or a centralized broker.
  • IBM Finance Foundation for Capital Markets—enables you to load, store and analyze financial markets data in virtual real time.
  • IBM eserver xSeries™ servers—feature Intel™ Xeon™ processors to provide outstanding availability and price and performance capabilities that help better manage and provision your IT environment.
  • IBM eserver BladeCenter™—provides extreme flexibility and high scalability; centralizes servers for increased ease of maintenance and reduced cost.
  • Reuters Market Data System (RMDS) on Linux™ operating systems—helps speed the processing of transactions, increases the stability of e-commerce Web sites, streamlines IT infrastructures and helps reduce IT costs, and improves access to information.

The implementation
Cutting-edge data optimization
A large European financial institution engaged IBM to optimize their market data processes. The company was able to deliver estimated savings in the range of 20-25% of their current spend, based on the acceptable level of business impact. Savings were generated in the following areas.
  • Application change
  • Exchange fee reduction
  • Reduced premium product add-ons
  • Consolidated research tools
  • Charting and optimization

Additionally, IBM recommended Reuters Market Data System (RMDS) on Linux and an IBM platform.

The cost of ownership
The solution that can pay for itself
IT organizations must be able to adapt to change—to provide global market data distribution services that can easily adapt to new financial products on a global basis and quickly respond to changes in trading volume. The financial markets data optimization solution from IBM can help you:
  • Optimize capacity to meet expanding trading volume.
  • Reduce latency—help ensure that data is delivered to end users with the shortest delay possible.
  • Provide for high availability with a highly reliable infrastructure that takes into consideration business continuity and disaster recovery provisions.
  • Provide the ability to integrate new products from software vendors and data aggregators.

Next steps
 
Questions about this solution? Contact an IBM Financial Services specialist.

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Hardware
Focus on systems  
Software
WebSphere Front Office for financial markets