About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

‘Tick To Trade’ Emerges As Latency Solution

Subscribe to our newsletter

The latency solution developed jointly by Solarflare and LDA Technologies has delivered a lower latency by figuring out how to push packets of information through their system faster and more directly, explains Ahmet Houssein, vice president of marketing at Solarflare.

Using the “tick-to-trade” method of picking up packets sent through a user datagram protocol (UDP), the combination of Solarflare’s network interface controller (NIC) and LDA’s transmission control protocol (TCP) hardware ships a stock tick through to algorithms in a high-frequency trader’s systems. The trader’s algorithm can then execute a trade based on that tick or stock value.

Solarflare and LDA’s latency solution is aimed at high-frequency traders.

“The faster you can make that trade, the faster and more accurate and effective you can be with that trade,” says Houssein. Solarflare and LDA have reduced the time for a transmission of such stock tick information to 120 nanoseconds.

In effect, capabilities or functions normally only in software are executed using hardware in the arrangement between Solarflare and LDA, particularly a field programmable gate array (FPGA). “You can program for the algorithm you want to execute, including extensions,” says Houssein. “Our relationship with LDA provides a capability for those algorithmic applications that can be extended to make decisions and make a trade faster. It solves the piece in the middle of the algorithm — and how fast the algorithm can respond to the tick or the trade.”

Subscribe to our newsletter

Related content

WEBINAR

Upcoming Webinar: Reviewing the Latency Landscape and the Next Generation of Ultra-Low Latency Infrastructure

Date: 17 September 2026 Time: 10:00am ET / 3:00pm London / 4:00pm CET Duration: 50 minutes Ultra-low latency is no longer the preserve of a handful of proprietary trading firms. As new asset classes electronify, data volumes surge, and regulatory expectations around execution quality and resilience tighten, the performance demands on trading infrastructure are broadening...

BLOG

Modernising for Continuous Markets: Why Infrastructure Must Be Built for Constant Change

Trading infrastructure modernisation is no longer being driven solely by latency reduction or cost efficiency. The stronger message emerging across the industry is that firms are having to prepare for markets that are increasingly global, extended-hour, automated and operationally unforgiving. That was the central takeaway from a panel discussion at A-Team Group’s recent TradingTech Summit...

EVENT

Buy AND Build: The Future of Capital Markets Technology

Buy AND Build: The Future of Capital Markets Technology London examines the latest changes and innovations in trading technology and explores how technology is being deployed to create an edge in sell side and buy side capital markets financial institutions.

GUIDE

Trading Regulations Handbook 2022

Welcome to the third edition of A-Team Group’s Trading Regulations Handbook, a publication designed to help you gain a full understanding of regulations that have an impact on your trading operations, data and technology. The handbook provides details of each regulation and its requirements, as well as ‘at-a-glance’ summaries, regulatory timelines and compliance deadlines, and...