System and Method for Improved Distribution of Market Information

• US 20100036705A1
• Filed: 10/14/2009
• Published: 02/11/2010
• Est. Priority Date: 09/30/2003
• Status: Active Grant

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: Andrews, Ryan N.
• Granted Patent: US 7,831,506 B2
• Time in Patent Office: Days
• US Class Current: 705/8
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: H04L 45/00 Routing or path finding of packets in data switching networks routing or path finding in wireless networks H04W40/00
• CPC Class Codes: H04W 28/00 Network traffic management; Network resource management
• CPC Class Codes: H04W 72/00 Local resource management

Abstract

A data distribution system and method are described herein to improve the distribution of market information to subscribing client devices. Market information updates are provided to subscribing devices over a communication link every time a change in the market occurs. If a bandwidth limitation is reached on the communication link, the preferred embodiments switch to a second mode of transmission such that the market information updates are provided only at predetermined intervals. The preferred embodiment monitors the bandwidth consumption to determine what mode of transmission to apply, and in response, it can dynamically change between modes of transmission. By dynamically adjusting the mode of transmission to comport with the current network bandwidth, the preferred embodiments may provide a network friendly, data intensive, and fast response market information feed.

Claims

1. A method for distributing market information, comprising:

determining bandwidth usage of a communication link for market information for a tradeable object via a computing device;

dynamically selecting between a first mode of transmission for the communication link and a second mode of transmission for the communication link according to the bandwidth usage of the available bandwidth for the communication link, where the first mode of transmission includes periodically transmitting a new market information snapshot identifying a predetermined number of bid orders and ask orders for the tradeable object, including a highest bid price for a tradeable object and a lowest ask price for the tradeable object, and where the second mode of transmission includes sending a market update message based on a predetermined time interval, the market update message including data retrieved from a data structure having consolidated market data corresponding to the tradeable object; and

distributing the market information via the communication link according to the selected first mode of transmission or the second mode of transmission.

2. The method of claim 1 where the communication link comprises a network connection from an electronic market.

3. The method of claim 1 where the communication link comprises a network connection from an electronic market information source.

4. The method of claim 1 where the first mode of transmission corresponds to high bandwidth usage and the second mode of transmission corresponds to lower bandwidth usage.

5. The method of claim 1, further comprising measuring bandwidth usage.

6. A system for distributing of market information, comprising:

a bandwidth monitor for determining bandwidth usage of a communication link for market information for a tradeable object; and

a market information transmitter configured to transmit market information according to a first mode of transmission and a second mode of transmission according to the bandwidth usage, where the first mode of transmission where the first mode of transmission includes periodically transmitting a new market information snapshot identifying a predetermined number of bid orders and ask orders for the tradeable object, including a highest bid price for a tradeable object and a lowest ask price for the tradeable object, and where the second mode of transmission includes sending a market update message based on a predetermined time interval, the market update message including data retrieved from a data structure having consolidated market data corresponding to the tradeable object.

7. The system of claim 6, wherein the communication link comprises a network connection from an electronic market.

8. The system of claim 6, wherein the communication link comprises a network connection from an electronic market information source.

9. The system of claim 6, where the bandwidth monitor is configured to electrically measure the bandwidth usage.

10. A system for maximizing the distribution of market information in an electronic trading environment, comprising:

a bandwidth monitor for determining bandwidth usage for a communication link for distributing market information related to a tradeable object from an electronic market; and

a market information interface for dynamically selecting a mode of transmission for distributing the market information from a plurality of modes of transmission according to the bandwidth usage, the plurality of modes including a first mode of transmission where new market update messages are transmitted from the electronic market in response to a change in a market order book and a second mode of transmission for where new market information snapshots are transmitted, the new market information snapshots having a best bid price and a best ask price for the tradeable object, where the first mode of transmission is selected when the bandwidth usage is below a bandwidth limit, and the second mode of transmission is selected when the bandwidth for the communication link is above the bandwidth limit.

11. The system of claim 10 where the bandwidth monitor is configured to receive a bandwidth limit signal indicating a maximum allowable bandwidth limit for the communication link.

12. The system of claim 11 where the maximum allowable bandwidth limit is manually set.

13. The system of claim 11 where the maximum allowable bandwidth limit is dynamically adjusted according to bandwidth consumption on the communication link.

14. The system of claim 10 further comprising a market information storage buffer for buffering market information before being distributed according to the mode of transmission.

15. The system of claim 10 where the communication link comprises a network connection from an electronic market.

16. The system of claim 10 where the communication link comprises a network connection from an electronic market information source.

17. The system of claim 10 where the communication link comprises a network connection from an electronic market information source to any of a gateway and a client device.

18. The system of claim 10 where the communication link comprises a network connection from a gateway to a client device.

19. The system of claim 10 where the bandwidth limit is set manually.

20. The system of claim 10 where the bandwidth limit is measured electronically.