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Colt set to connect to Cboe Europe Derivatives from day one – Finextra

Colt Technology Services, a leading provider of agile, high bandwidth connectivity solutions, has today announced it will provide connectivity to Cboe Europe Derivatives (CEDX) via Colt’s financial extranet, Colt PrizmNet.

Colt will offer connectivity to the new pan-European equity derivatives market from its launch in September 2021.

Colt PrizmNet’s deterministic, low latency network and superior SLA guarantees mean connectivity to CEDX can be turned on quickly and efficiently for existing and new PrizmNet customers. Colt connectivity will accelerate time to market and reduce the risk of slippage and lost trades for customers looking to access the new exchange.

CEDX will allow customers to trade a variety of European and pan-European equity index futures and options at a single exchange, with harmonised contract specifications, and cleared at EuroCCP, Cboe’s pan-European clearing house. Based on Cboe’s successful US trading constructs, it aims to grow the overall derivatives market in Europe. In addition, it is designed to create new opportunities and efficiencies for market participants to express their views and manage their equity exposure.

Matthew Reinholds, Colt’s Segment Sales Director, Global Capital Markets & Asia Enterprise, said: “We’re excited to become one of the first connectivity partners to provide customers access to CEDX. This new market will disrupt the way European equity derivates are traded, driving greater on-screen liquidity, better price improvement and a more holistic market structure.

“Colt has long been a leading connectivity provider for the Capital Markets community, and thousands of customers around the world trust our network. We continue to monitor the market and make infrastructure investments to ensure we connect to key liquidity hubs and deliver the best possible latencies and performance. This announcement is the latest example of that,” Reinholds added.

Stephen Dorrian, Senior Director, Head of European Market Data, Cboe Europe, said: “We are pleased that Colt will be providing connectivity to CEDX in September, and that its clients will gain access to the benefits of a modern, transparent and pan-European equity derivatives market.”

Colt PrizmNet is underpinned by the Colt IQ Network – a 100Gbps optimised intelligent network – distributed to more than 29,000 on net buildings, 900 data centres and hundreds of data network connection points around the globe. With flexibility and agility to meet the market’s requirements, Colt continues to enhance its connectivity offering to ensure its market leadership across the world.

Colt customers can access CEDX from its go-live date – 6 September 2021.