Avelacom Becomes Low Latency Connectivity Provider for London Metal Exchange

Fazzaco has learned that Avelacom, the leading network service provider specializing in low latency connectivity, has become a connectivity provider for the London Metal Exchange (LME), which allows LME members to leverage cross-market trading strategies more efficiently.

Avelacom's network offers global coverage that includes most developed market exchanges, such as CME, with a particular focus on emerging markets, including exchanges in mainland China and India.

All these commodity and derivatives exchanges have products that are highly correlated, with opportunities for commodities arbitrage, making improved connectivity a key differentiator.

With the new partnership, trading firms will benefit from the lowest latencies between LME and other global commodity markets, connecting to market data and executing trades for all instruments across multiple commodity markets via a single cross-connect established at Interxion, the LME's primary data centre.

Aleksey Larichev, CEO of Avelacom said: "Avelacom's network and infrastructure has been designed for e-trading firms using latency sensitive strategies from the very beginning. There is a new generation of traders who will use sophisticated algorithms to trade commodity derivatives and who benefit from the best latencies via Avelacom. Clients need our services to improve arbitrage strategies and price discovery. With increased trading across multiple markets there's a growing demand for broker-neutral ecosystems like Avelacom."