Abu Dhabi Securities Exchange (ADX) has announced that the new trading system, X-Stream Trading has gone live as of the opening of trading at 10:00 am on Thursday 17th April. X-Stream Trading, developed by NASDAQ OMX, is the most widely used exchange trading system in the world. The final full-function test of the system was completed successfully by ADX on 12th April in the presence of NASDAQ OMX.
The agreement for the provision of X-Stream Trading was signed between ADX and NASDAQ OMX in May 2012. The agreement extended the existing management contract with NASDAQ OMX for a further 5 years, and for the upgrade to X-Stream Trading which has now been achieved. NASDAQ OMX has been providing ADX with technology support since the latter’s inception in 2000.
X-Stream Trading provides a proven, functionally rich, multi-asset trading platform that complies with international standards and policies. The new platform will improve ADX’s trading performance and transparency, and ensure low latency in pre- and post-trade or “at trade” risk management checks. It will also allow faster back office reconciliation of transactions.
The upgraded platform will handle not only the trading of equities but it will also support Market Making activity as well as transactions of fixed income and ETF instruments, while providing the scalability to allow additional instruments to be added at a later date. The new platform will allow ADX to handle an unlimited number of indices.
Commenting on the successful launch, Mr. Rashed Al Baloushi, CEO of ADX, said: “This is a proud moment for us. Making X-Stream available for our investors, brokers and other stakeholders takes us to a completely new operational level and prepares the way for the next stage of our development. The launch of X-Stream is the culmination of a vast amount of work done by both ADX and our partners at NASDAQ OMX to achieve a faultless transition, and it is a proud moment for us to make X-Stream available for our investors, brokers and other stakeholders. This is not just about the adoption of world class technology – it is about the aspirations of ADX to be a world class window for investors into the opportunities that Abu Dhabi offers. I would like to thank our partners both at NASDAQ OMX, but also the many brokers who took part in the test runs of the system, for their support and guidance throughout the process.”
The implementation of X-Stream Trading coincides with the introduction of a new communication system – FIX 5.0 – between ADX and brokers which allows greater two way communication with the new trading system. ADX is the first exchange in the region to go-live with the in memory vetting model of X-Stream trading.