Recent news has it that the CME Group and KVH Co. Ltd. have actually come together. In other words, you could say that the CME Group has meted out its approval to KVH for the purpose of providing an array of services. Theseservices are essentially connectivity services and it’d be meted in and out of the new Co-Location facility of CME.
The CME Group happens to be one of the most widely known risk management services that’s based on the heritage of CME, CBOT, NYMEX, KCBT and COMEX. It’s known for the risk management of the needs of its customers as well as for the widest range of benchmark futures and options products that could possibly be available on any exchange. Most importantly, the products and services offered by CME are known to cover all major asset classes. They share and put forth a collective vision of innovative product development and enhanced technology.
Now, KVH essentially happens to be an Asian firm that was established in Tokyo back in 1999. It was established by Fidelity Investments and that too as an IT or communications service provider focusing on Japan. It allows its customers to store, process, protect as well as deliver all their vital information related to business as a platform for delivery of information. Presently it’s the leading provider when it comes to ultra low-latency network in Japan and boasts of more than 450 financial services customers.
Now that KVH has got the approval from the CME Group, it now plans on expanding its ultra low-latency network for the purpose of financial services community to none other than CME Aurora Data Center. Here in a new network point of presence will be added at the new CME Co-Location facility.
All the hosting, connectivity and support services of the CME Group will now again be launched at its new data center. This new center will go on to house the new trade matching engines for the various products that are traded on the CME GlobexR platform.
The President and CEO of KVH, Richard Warley expressed his pleasure about the CME approval. He says that with the rise in demand for high frequency trading, the Tokyo to Chicago Aurora route is bound to see an increase in transaction volume soon enough. This is definitely going to provide leverage to the new CME Co-Location facility as well as the KVH low-latency networks.