Frankfurt Colocation Options for Trading Infrastructure Decisions

For trading firms, Frankfurt colocation decisions are not simply based on data center location. It is an infrastructure placement decision shaped by exchange access, market data requirements and latency-sensitive workflows. As part of a broader colocation data center strategy, Frankfurt can help firms place critical systems closer to key European financial markets infrastructure.

Frankfurt’s importance for trading infrastructure is driven by its proximity to Deutsche Börse, Xetra and Eurex-related market infrastructure. Deutsche Börse designates Equinix FR2 in Frankfurt as the colocation data center hosting the primary back-end systems for both platforms, making Frankfurt a strategic location for trading firms seeking low-latency access to these markets.

Waypoint provides ultra-low latency connectivity, managed hosting and colocation services for participants connecting to Deutsche Börse and its venues.

Frankfurt as a Trading Infrastructure Location

A colocation strategy in Frankfurt can support firms that need infrastructure positioned close to relevant exchange systems. This can be particularly important where trading environments depend on predictable access to venue connectivity, market data feeds and resilient operational support.

Waypoint can support firms by bringing hosting, connectivity, market data access and exchange access into a more coordinated trading infrastructure model, reducing the need to manage each component independently.

Exchange Proximity and Market Access

Exchange proximity matters because trading infrastructure often performs best when systems, data and connectivity are placed closer to the venues and services they depend on. For firms evaluating colocation in Frankfurt, this makes location a practical infrastructure decision shaped by access, data, latency and operational support. Key considerations may include:

• Access to Xetra, Eurex and related market infrastructure
• Market data delivery requirements
• Latency expectations across trading workflows
• Operational support and monitoring needs

This assessment can be made easier when hosting, access and connectivity requirements are considered together, rather than managed as separate workstreams.

Xetra and Eurex Connectivity Considerations

Frankfurt is especially relevant for firms working with Xetra and Eurex-related access requirements. For these firms, it is important to understand how order entry, market data and supporting infrastructure are delivered within the relevant colocation environment.

A Frankfurt colocation decision should therefore consider how these dependencies interact, rather than focusing only on rack space or facility specifications.

Market Data Access in Frankfurt

Trading firms may need timely access to venue data, reference data and other market inputs that support trading applications and downstream systems.

In this context, the colocation benefits are not limited to speed. The broader value is the ability to place infrastructure, connectivity and data access within a more deliberate environment.

This becomes particularly useful when firms are expanding into new venues or reviewing how existing market data environments are managed. Waypoint provides member and non-member market data access to Xetra and Eurex.

Latency-Sensitive Infrastructure Placement

Latency-sensitive trading workflows require careful infrastructure placement. Frankfurt may be relevant where firms need closer access to key European trading venues, more predictable data delivery or a clearer path between hosted systems and exchange connectivity.

Firms should evaluate Frankfurt alongside broader data center site selection criteria, including venue access, operational resilience, data requirements, scalability and the internal resources needed to manage the environment.

This reduces the risk of infrastructure decisions being made in isolation across providers, locations and operational teams.

Evaluating Frankfurt Colocation Readiness

Firms should understand which markets they need to access, which data feeds are essential, what latency profile is required, and how much operational complexity they are prepared to manage internally. Firms comparing Frankfurt with other locations, such as a London colocation deployment, should focus on trading infrastructure fit rather than general market size.

For firms reviewing colocation, connectivity and market access in Europe, a Frankfurt deployment can support infrastructure close to relevant venues and data sources. With Waypoint, firms can approach Frankfurt colocation decisions as part of a joined-up infrastructure strategy, reducing DIY complexity across hosting, connectivity and operational support.

Ben Myers is Managing Director for EMEA for Waypoint Trading Solutions. In this role, he oversees a team who are responsible for supporting customers with trading infrastructure, connectivity, market data and data center colocation needs.