No way! I trade with blackout curtains, double-latched door, not even the dog is allowed in. A single beam of light illuminates the system trading desk...
1. SR is a software firm that doesn't trade. they provide server based solutions for automated trading systems. they sign a NDA and from my personal experience there is no chance of your IP (strategy) leaking I know of several funds and CTA's that run SR based systems. They (SR) also have a client side API that lets you run your system locally (still use the server for allocating the systems across multiple accounts) 2. why not? server would be more robust then a PC, FCM (the good onces) have good IT and offer better redundancy then local PC's. If you are all about speed , it would be much faster having the systems run from the same LAN that is routing orders to the exchanges.....
That somebody will steal your encoded system from a server and ruin the market? Think about it on the other side. Suppose somebody came to you and said, "hey I have this great black box system. let's trade it in massive size!" --- Uh, where did it come from? --- My friend is uber-hacker and works in IT of a broker and transferred it out on his USB keychain --- How does it work? --- I dunno. --- What are the risk parameters? --- I dunno. --- What are the weaknesses and strengths in various kinds of market conditions? --- I dunno. --- What does backtest look like and with what data feed? --- I dunno. Would you buy a used car from this man?