Will Infrastructure as a Service Support the Next Power Play?

November 25th, 2019 - Financial, Global Connectivity

By Scott Feagans, Vice President of Technology & Strategy for TNS’ Financial Services Business

As traders look for more sophisticated ways of achieving a competitive edge, outsourcing network architecture elements under an Infrastructure as a Service (IaaS) model is gaining prominence. The IaaS acronym is not new as it has its roots in cloud services, but it’s important to note that TNS has been offering IaaS for many years.

The concept behind IaaS is to off-load the management of key computing components (hardware, connectivity, software, etc.) to a trusted partner. When deployed effectively it offers significant benefits like cost-containment and reduced operational headaches, while enabling traders to focus on their core business objectives.

In the global financial markets, IaaS models may include the following key elements, as well as others:

The TNSXpress product suite is a strong example of an IaaS offering that has been developed specifically to meet the demanding requirements of the global financial market. Conventional IaaS providers may not be an option, as they have been generalized for a wider enterprise computing audience.

TNSXpress helps traders to:

  • Benefit from advanced technology – TNSXpress includes the TNS Layer 1 architecture which can reduce latency to just 5-85 nanoseconds. It does this by simplifying the network with single switch hops and uses FPGA technology to replicate signals extremely fast via custom code.
  • Extend global reach – TNS has one of the largest financial communities of interest across the Americas, Europe and Asia Pacific regions. It offers access to more than 60 exchanges via 125 points-of-presence, including many that are located in exchange colocation sites.
  • Reduce total cost of ownership – outsourcing hardware and data center provisioning delivers a more cost-effective option.
  • Enter new markets easily – TNS’ existing extensive infrastructure means that new connections and colocation deployments can be established quickly and easily.
  • Test new market potential – traders can explore new markets and new trading strategies with limited commitment and cost outlay
  • Leverage local expertise – TNS’ has personnel on the ground providing essential local guidance and advice to ensure effective deployments from day one.

These benefits can naturally be achieved by traders doing it themselves, but is the cost, complexity and time worth it? We don’t believe so and have made it our mission to continue enhancing our service so that there can be no doubt that TNS is the premier single-source managed network service provider for financial market participants.

Gaining competitive advantage in today’s established and refined financial markets comes from well thought out trading strategies, efficient working practices and continuous innovation. I fully expect IaaS to play a central role in helping to shape the way global financial market participants compete now and in the immediate future.

Interested in further information? Find out more about TNSXpress by reading TNS’ recent press release or take a closer look at TNS Layer 1 in this blog.

Find details for your appropriate TNS representative on our contact page