Interactivebrokers have a server in Zug, Switzerland to log in. Probably the broker with least latency for traders trading from Europe (my ping time: 30ms).
That´s a good one ! 30 ms ? Thats slooooowwwwwwwww..... One company is marketing with the following introduction : "We registered a 130 micro second order latency in the first benchmark run, and expect this figure to drop by another 40 micro seconds when the final platform specific tuning is doneâ...
If I am not wrong, Schneider is executing and clearing through GNI Touch ( now MF Global, MAN Financial ).
well the ping time depends from where you trade so if a broker has 1 microsecond ping time, from where to where???? i trade from italy with IB and i have also about 30ms to the server in ZUG switzerland. and that is a perfect ping time for normal users.
I'm located in the Netherlands. And I have two IB-accounts. one on the USA-server, and one on the Europe-server. And I trade both accounts at the very same time in the same Symbols. It's very noticible that trading DAX, my orders through the Europe-server are executed before the USA-server orders (so for sure the Europe-server is much faster for DTB). On the other side: if I trade Globex products (ES, NQ, EUR), then the USA-server has a faster execution than my Europe-account. So it makes sense to open an IB-account at the Server located near the Exchange you trade. (IB has an Asian-located Server as well).
Break down the components and associated latency. #1. Price Feeds: CME Averages 8ms to process orders for indexes, 3ms for currenccy futures. These are averages and in fast moving markets typically > 10ms. So no matter where you are located your price feeds and T&S data will be approximately 10ms delayed. Now add latency to deliver the feed to your computer. If in Tier 1 facility in Chicago your latency is <3ms. NY < 20ms, LA <60ms etc. Computer Time to process the Tick Data in your application = Approx 10ms. If your feed is aggregated and throttled like IB you will get maximum 6 updates per second. This introduces up to 150ms of broker delay. Best case co-located scenario with direct CME access your price data will be delayed approx 10ms. IB pricing data delivered to Europe can lag 300+ ms. #2. Order Processing. Multiple Steps: Computer Releasing Orders: sub 1ms Transmit to Broker: Approx 1/2 Ping times. Clear Credit Controls: Estimate 10ms Route Order to Exchange: Latency of Brokers' network to exchange #3. Fills and clearing confirmations This is also a multiple step / Multi Hop process usually invisible to the user. Exchange - Broker - Clearing Server - Broker - User If you really want to get an idea of your true latency: Time sequentially placing and canceling 100 orders. Wait for confirmation of the cancel before placing the next order If you are co-located the best you will likely see is 1 second. In Europe probably 30 seconds or more. All of this High Speed - High Frequency talk is relatively moot if you are placing limit orders that queue on the exchange order books. If you are placing market orders of any significant size it would make sense to process as close as possible to the exchange and your broker's execution servers.
Not true: Snapshotting (what IB is doing to transport quotes to its clients) doesn't introduce Lag (atleast not the amount of 150ms to 300ms you are talking about). It actually keeps speed constant at the same level (even during high volatile news breaks).
Europe 30sec. is totaly biullshit. the only difference from europe to USA for CME is the ping time from europe toUS broker - server and the way back (but the way back you cant count because all the work is done, you just get thew info for fill) so if you count 1 sec for US customer, so add the 140ms ping time difference from Europe to USA and thats it.