Whitepaper: Revolutionizing Financial Trading with Microservices Innovation

Modern trading platforms are defined by their ability to process, distribute, and act on ever-increasing volumes of real-time data with minimal latency and maximum resilience. As markets fragment, strategies automate, and data flows accelerate, traditional monolithic and broker-based architectures struggle to scale without introducing bottlenecks, single points of failure, or unacceptable delays.

This case study explores how Quod Financial has re-architected its multi-asset OMS/EMS platform around a multicast middleware–driven microservices architecture, powered by Informatica Ultra Messaging (UM). By replacing centralized messaging models with a highly distributed, peer-to-peer messaging bus, Quod enables ultra-low latency communication, elastic scalability, and fault tolerance at a system-wide level.

At the core of this architecture is a multicast messaging bus that allows a single data stream—such as market data, pricing updates, or execution events—to be efficiently distributed to multiple subscribing components in real time. Each microservice consumes only the data it requires, reducing network load, eliminating duplication, and enabling parallel processing across virtualized infrastructure. This approach supports complex trading workflows such as FX pricing aggregation, tick-by-tick algorithmic trading, and high-volume order routing without compromising performance.

To further reduce latency and improve determinism, Quod leverages Ultra Messaging’s Shared Memory Acceleration (SMX) and Inter-Process Communication (IPC) capabilities. By enabling components to communicate directly through shared memory on multi-core CPUs, Quod achieves latency reductions of up to 100x compared to network-based messaging—without requiring disruptive platform rewrites. This flexibility allows components to be deployed either in ultra-low-latency configurations or optimized for throughput, depending on the use case.

Resilience and reliability are built into the architecture by design. Using Parallel Persistence® and Active-Active deployments, Quod ensures that all messages are delivered exactly once, even in the event of component, server, or network failures. The platform supports real-time recovery, load balancing, and hot-hot disaster recovery across physical locations, eliminating single points of failure while maintaining continuous operation.

A key innovation highlighted in this study is Quod’s ledgerless messaging certification model. By combining asynchronous persistence, in-memory validation, and consensus-based message acknowledgment, Quod removes the performance bottlenecks of centralized ledgers while maintaining security, reliability, and auditability—without introducing the latency penalties associated with blockchain-based approaches.

Together, these capabilities enable a trading platform that is faster, more scalable, more resilient, and more energy-efficient than traditional architectures. By adopting multicast middleware and microservices at its core, Quod Financial demonstrates how modern trading systems can evolve beyond legacy constraints and deliver the performance, flexibility, and transparency required by today’s automated, data-driven markets.

As trading desks evolve with data science and machine learning, middleware like Informatica UM becomes the key to rapid scaling and distribution. Visit Informatica to unlock the potential of their middleware for your business, or connect with Quod Financial to experience the future of trading first hand.

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About Informatica
Informatica (NYSE: INFA), an Enterprise Cloud Data Management leader, brings data to life by empowering businesses to realize the transformative power of their most critical assets. We have created a new category of software, the Informatica Intelligent Data Management Cloud™ (IDMC). IDMC is an end-to-end data management platform, powered by CLAIRE® AI, that connects, manages and unifies data across any multi-cloud or hybrid system, democratizing data and enabling enterprises to modernize and advance their business strategies. Customers in more than 100 countries, including 85 of the Fortune 100, rely on Informatica to drive data-led digital transformation. Informatica. Where data comes to life.

www.informatica.com

About Quod Financial
Quod Financial is a multi-asset OMS/EMS trading technology provider focused on automation and innovation - specialising in software and services such as Algorithmic Trading, Smart Order Routing (SOR), and Internalisation of Liquidity. Quod leverages the use of its data-driven architecture to support the demands of e-trading markets by combining AI/ML-enabled decision-making tools and dynamic market access with a non-disruptive approach to deployment. For more information visit: www.quodfinancial.com

Quod Marketing
+44 20 7997 7020
marketing@quodfinancial.com