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Technical User GroupFriday 14 September 2012

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Agenda

• Introduction

• London Stock Exchange – MIT Functional Release

• London Stock Exchange - Real Time Information Services -

Group Ticker Plant Project Update

• Turquoise Derivatives, Oslo Bors Derivatives & IDEM - SOLA

Enhancements

• Oslo Bors - Millennium Migration Update

• London Stock Exchange - Connectivity Services Update

• Q & A Session

MIT Functional Release

TUG Presentation, London - 14 September 2012

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New functionality

• The London Stock Exchange and Turquoise Millennium Exchange systems are being

upgraded to support the following functionality:

– Passive Only Orders

– Price Differential Indicator

Following this upgrade the Turquoise Millennium Exchange functionality will also

include an enhancement to the:

– Trade Liquidity Indicator

Dates:

– CDS – Turquoise : Sep 2012, LSE : Oct 2012

– Live Production - Turquoise : Q4 2012, LSE : Q4 2012

Group Ticker Plant Project Update

Technical User Group, London

Ed Rainer

Group Product Manager

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Project Update

• The Group Ticker Plant project remains very much on plan. We are pleased to confirm that

Phase 1 go-live in Q4 2012 remains achievable as per schedule published in late 2011.

• A small number of code defects exist in the current codeset live on the CDS environment.

These are detailed in the CDS Release Note which is available on the project microsite.

• Documentation updates will continue to occur throughout this project – driven by

enhancements, product changes and customer feedback. Documentation updates will be

reflected in the issue number of the document and notice will be provided to the project

mailing list.

• A number of documentation updates are scheduled for next week. Including a revised issue of

GTP002 – Technical Guide and the release of GTP003 – Statistics Guide.

• Contractual notice has now been served for the decommission of both FIX-FAST and

MDF/DDM-Plus market data services. Customers should receive this contractual notice

shortly, if not already.

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Customer Testing

• The CDS environment is the core environment for client application development, testing and

certification.

• CDS was made available, as per published plan, on 31 July 2012.

• All clients will be required to pass Certification prior to accessing the Group Ticker Plant

Production environment. This Certification will be mandated for all applications irrespective of

whether applications are currently live on any of the London Stock Exchange Group Production

systems.

• To certify their application(s), clients will be required to connect to both replay and recovery

services and subsequently perform a data request. Group certification is not designed to test

an application’s ability to process real-time market data or to process data following successful

submission of a request.

• Weekend Dress Rehearsals will not be provisioned prior to Phase 1 Production go-live. Early

access to the Production system will not be provided prior to Phase 1 Production go-live.

• Full details of Group Ticker Plant testing requirements are detailed in GTP005 – Testing Guide – Issue 2.0, which is available on the project microsite.

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Bandwidth Requirements

The Group apologises for the delay in publishing anticipated bandwidth requirements supporting the Group Ticker Plant Phase 1 service introduction.

• Final analysis and modeling is now underway and we anticipate publishing indicative

requirements shortly.

• Bandwidth requirements will be provided to the project mailing list and onto the bandwidth

calculator.

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Our Go-Live

• Production go-live will be through parallel run service introduction.

• Phase 1 go-live, excluding FTSE Low Latency, will be in Q4 2012. The Group will provide further information on our go-live plan in early October. This will be provided to the project

mailing list.

• The Group will provide at least 4 weeks notice prior to Production go-live of Phase 1.

• FTSE Low Latency is anticipated to be introduced to Production, in a standalone code

release, in late 2013. Group Ticker Plant guides will be updated to reflect the FTSE Low

Latency functionality shortly. Exchange Hosted clients who are interested in receiving the

FTSE Low Latency product should liaise with their Exchange Hosting contact.

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Timeline Review

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Phase 2 (1)

• The Group will shortly finalise service structure Phase 2 of the Group Ticker Plant.

• Phase 2 will deliver a full depth incremental service for London Stock Exchange and Borsa

Italiana markets (including IDEM). It will also deliver a full depth streaming service for the

Turquoise Cash Equity and Turquoise Derivatives markets.

• MTS Markets are also in scope for Group Ticker Plant Phase 2 – the product structure for

these service lines remains to be defined.

• Introduction of services will be staggered - London Stock Exchange and Borsa Italiana services

introduced first - currently scheduled for H1 2013.

• The Group plans to publish performance statistics ahead of Phase 2 service introduction. This

will allow clients to make an informed decision on whether they wish to develop to the

Group Ticker Plant Phase 2 service lines.

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Phase 2 (2)

• The Group will introduce a small number of additional messages to support the service lines

being introduced in Phase 2 of Group Ticker Plant.

• TCP/IP replay and recovery message libraries introduced as part of Phase 1 are anticipated

not to change as part of Phase 2 service introduction.

• Multicast messages introduced as part of Phase 1 are not anticipated to change as part of

Phase 2 service introduction.

• Trade management and order book management will be through process of unique message

types – the current Level 2-ITCH concept of messages such as Order Executed with Price/Size

to indicate both execution and order removal will be replaced by a Trade message (current

published Phase 1 format) and an Order Delete message (currently not published).

• The Group will shortly begin a period of client consultation supporting Phase 2.

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Further Information

• For further information clients should contact their usual Group Contact.

• Technical Enquiries can be forwarded to the Client Technology Group (UK):

Telephone: (+44) 207 797 3939

Email: lsetam@londonstockexchange.com

• Media Enquiries can be forwarded to:

Telephone: (+44) 207 797 1222

Email: newsroom@londonstockexchange.com

• Project microsite provides further information and mailing list registration:

www.londonstockexchangegroup.com/oneproductinfinitepossibilities

SOLA ENHANCEMENT PROGRAMME

Paul Kennedy

Technical Account Manager

Technical User Group, London – 14 September 2012

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Introduction to SOLA Enhancement Programme

• The Derivatives Technology Programme has been delivering new

Derivatives Trading and Clearing platforms since 2009.

– Phase 1 – Successful migration of Turquoise & Oslo Bors

derivatives markets

– Phase 2 – Successful migration of Borsa Italiana’s IDEM

derivatives market

– Phase 3 – Enhancements for Turquoise derivatives product

offering

– Phase 4 – New functional enhancements for IDEM, Turquoise and

Oslo Bors derivatives markets to be delivered in this project

phase. Customers should note that this release of SOLA is not backwards compatible.

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Phase 4 SOLA Enhancements

• The following enhancements are included in the new release, further

information on each will become available in the near future

alongside updated customer documentation: -

– Introduction of cross/committed orders (incl. block size) on

strategies

– Dissemination of the “At-The-Money” series for IDEM, Turquoise

and Oslo Bors derivative markets.

– Addition of new trading currencies for Turquoise and IDEM

derivative markets.

– Enhanced controls in setting of logical connections

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Impact Analysis

• On the following page is a list of the protocol flows that will be

subject to change. For each flow the names of the messages

impacted and the update type is provided. Possible update types:

– New value: the format of the message has not changed, but new

values are supported for a specific field

– Added field: new field added to an existing message that will

impact the length

– New message: introduction of a new message

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Impact Analysis Cont’d

Flow Message Name Update

HSVF

C – Option Trade

CF – Futures Trade

CS – Strategy Trade

D – Option Request for Quote (RFQ)

E – Instrument Schedule Notice Option

F – Option Quote

FF – Futures Quote

FS – Strategy Quote

H – Option Market Depth

HF – Futures Market Depth

HS – Strategy Market Depth

I – Option Trade Cancellation

IF – Futures Trade Cancellation

IS – Strategy Trade

J – Option Instrument Keys

JF – Futures Instrument Keys

JS – Strategy Instrument Keys

N – Option Summary

NF – Futures Summary

NS – Strategy Summary

New Values: Data type Price Fraction

Indicator

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Impact Analysis Cont’d

Flow Message Name Update

HSVF JS – Strategy Instrument Keys

Added fields: Maximum/Minimum

threshold Price sign

Added fields: Strategy Pricing

HSVF

J – Option Instrument Keys

JF – Futures Instrument Keys

JS – Strategy Instrument Keys

New values: Supported for

Currency field

HSVF RS – Connection MessageNew value: HSVFprotocol version

SAILMU – ATM Monitoring New message.

SAIL IX – Underlying Price New message

FIX Execution Report message (35=8)New values: for Error Codes

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Conformance Testing

• All proprietary applications used to enter orders on all SOLA markets

must pass a conformance test before the go-live date of the new

release. For IDEM customers, the conformance test will be carried

out with the support of the Service Desk team in Milan.

• For Turquoise and OSLO customers, details will be provided in due

course.

• All customers are expected to connect to the SOLA CDS environment

as soon as possible in order to test and make the necessary changes

to their applications.

• Customers’ applications that have successfully conformed to the

IDEM market, will not be expected to re-conform for Turquoise

Derivatives or Oslo.

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High-level Timeline

• September 2012

• IDEM customer documentation to be issued

• October 2012

• CDS for IDEM customers available for testing and conformance

• Turquoise and Oslo Bors customer documentation to be issued

• December 2012

• CDS for Turquoise and Oslo Bors derivative customers available

for testing and conformance. Please note again, Turquoise

members who pass the conformance test for IDEM will not need

to repeat the test.

• Go Live Dates are to be confirmed

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Contact Information

• Contacts

– CTS UK Turquoise Member Services

Telephone: +44 (0)207 797 4333

Email: memberservices@tradeturquoise.com

– CTS UK Client Technology Group

Telephone: +44 (0)207 797 3939

Email: lsetam@londonstockexchange.com

– CTS Milan:

Telephone: +39 02 45411399

Email: Service-desk@borsaitalia.it

– Derivatives Product Management, London & Oslo

Telephone: +44 (0)20 7797 1694

Email: srogers@londonstockexchange.com

Oslo Børs Millennium Migration- Project Update

Technical User Group, London Stock Exchange, 14 September 2012

Updating documentation

Oslo Millennium migration on track!

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Q1/2012 Q2/2012 Q3/2012 Q4/2012

Please note: Time schedule is subject to client and market readiness

ISVs, vendors and members conformance

testing

Dialogue with members, vendors and ISVs- Information meetings, TUGs, Developer Forum, one-to-on meetings

Enablement CDS

Enablement PROD

Customers’ networkupgrade

Review market modelsDefine market models &

functionality

ISV and Customer Testing (CDS)Design & DevelopmentOslo Børs

Millennium integration and testing

Network/infra-structure upgrade

Customer interface documentation

1st DRSat 29 Sept 2nd DR

Sat 13 Oct

3rd DRSat 27 Oct

GO LIVEMon 12 Nov

Early Access PROD Environment

Consultation Member and Trading Rules

Status – the Oslo migration

• Customer interface, test, enablement and conformance

documentation released, updated and distributed via the

‘Delta’ web site

• Member and Trading Rules consultation finished

- Very few comments received

• Enablement to both the CDS and LIVE environment ongoing

- Clients who have not sent in the form yet, are encouraged to do so as

quickly as possible

• Conformance has started

- Note: All software used to connect to the MIT platform needs to be

conformed before the first dress rehearsal

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Status – the Oslo migration, cont.

• Early Access Service to LIVE environment opened 20 August

for clients

- Note: Access to the pre-production environment requires separate

enablement

• Oslo Børs and LSE testing ongoing

- Networks between Oslo and London up and running

- Failover tested and working

- CCP connections to clearing house tested

• Oslo Børs internal total system integration testing ongoing

• Oslo Børs is so far pleased with test results

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Test services provided

• Details on the test schedules described in OSLMIT 501

Guide to Testing Services

• Customer Development Services (CDS)

- Exchange generated order activity in place

- Different disturbance scripts introduced in June

- Instruments for end-to-end testing, incl. the CCP functionality and

connection to the VPS Demo System available from early October

• High Volume Service (HVS)

- Available as of 20 August, but dependent on clients’ network providers

- Runs for one hour every trading day from 19:00 to 20:00

- Runs in two 30 minutes cycles

- HVS test is not mandatory, but highly recommended

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Test services provided, cont.

• Early Access Service (EAS) to production (LIVE)

environment available as of August 20

- Separate enablement required

- Conformance required for functional testing

- Connectivity testing available without conformance

• Market data heartbeat generator activated in EAS

- Open on evenings from 18:30-23:00 and Saturdays from 22:00 to

Sundays 22:00

• TCP responder activated in EAS

- Open on evenings from 18:30-23:00 and Saturdays from 22:00 to

Sundays 22:00

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Application certification

• Application certification to be done by ISVs and vendors in

the CDS environment

• Scenarios to be tested and the certification form is found in

OSLMIT 502 Guide to Application Certification

- Scenarios not supported by the application can be left out

• Testing can be done at any time and as many times as you

want

• When all the required tests have been passed, contact Oslo

Børs to confirm conformance – enablement@oslobors.no

- Please note that Oslo Børs can only confirm conformance tests intra

day

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Dress Rehearsals and Go Live

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Event Date

Customer Dress Rehearsal 1 (DR1) Saturday 29 Sept

Customer Dress Rehearsal 2 (DR2) with failover

Saturday 13 Oct

Customer Dress Rehearsal 3 (DR3) Saturday 27 Oct

Production Migration and Connection Test

Saturday 10 Nov

Go Live Monday 12 Nov

Exemption to DR1?

• Exemption to DR1 may only be granted if the member or

information vendor

- is already on Millennium Exchange through their LSEG or BIT

membership/connection

- only trades in equities (for members)

- has passed conformance and carried out successful connectivity testing

to the production environment by 15 September

• All prerequisites necessary

• Subject to Oslo Børs approval

• DR2 and DR3 mandatory for all

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Dress Rehearsals program

• DR Saturdays: Regular, but compressed, trading day

- The markets open 09:00 (08:00 UK time) and close 14:25 (13:25 UK

time), post close ends 15:00 (14:00 UK time)

• Market activities provided by Oslo Børs

- Eg. halt/suspend instrument, alter circuit breaker limits, delete orders,

suspend member etc.

• Technical activities by both Oslo Børs and members/vendors

- Connectivity

- Full site failover (DR2)

- Performance tests

• Oslo Clearing (CCP) will join in DR2 and DR3

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Dress Rehearsals program, cont.

• Member/vendor activities

- All software to be connected to Millennium from 12 November should

be in use on all DRs

- Regular order entry (for members)

- Trade reporting (where supported)

- Test all CompIDs and Trader Groups

• For more information, see OSLMIT Guide to Dress

Rehearsals

• Return dress rehearsal sign-off form to Oslo Børs at the end

of the day to technicalsupport@oslobors.no

- Sign-off form included in Guide to Dress Rehearsals

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LSEG Connectivity Services UpdateTechnical User Group – 14 September 2012

Jamal Farooqi – Business Development Technology

Customer Managed Connectivity Evolving Market Access

Increased flexibility, greater scalability and optimized performance

Clients

LSE Primary Datacentre

SDC

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Customer Managed

Service

2

2

Customers contract directly

for circuits

Accredited Connectivity

Partners

Customers contract directly

with LSEG

Customer Access Ports

2Mb to 10Gb

LSE Secondary Datacentre

Exch

ange demarca

tion

ExampleChoice of connectivity

supplier

Carrier B

Carrier C

Carrier D

Carrier A

ExampleGroup Services

PDC

Accredited Connectivity Partners (ACP)Direct Connectivity

• Partners to be announced in September 2012

• Certification physical access providers in progress

• For resilient access – both primary and secondary datacentre access

- Customers can elect to use a single, or multiple connectivity partners

• There are no cross connect charges to customers, between a customer provisioned

circuit at the Group’s primary and secondary datacentres and the Customer Access

Ports.

Accredited Connectivity Partners will be made available on the groups website.

www.londonstockexchange.com/products-and-services/connectivity/connectivity.htm

Customer Access PortsDirect Connectivity

• Customer Access Ports will be available in speeds of 2Mb to 10Gb

• Ports supporting Network Service Providers and VANs will be available at 1Gb

and 10Gb

• Customer Access Ports will be made available at our primary and secondary

datacentres providing resilient connectivity options

• 1Gb and 10Gb Customer Access Ports will be available in October 2012.

• Sub 1Gb (2Mb to 100Mb) is targeted for November 2012.

• Service and Technical Descriptions will be available for release in the first week

of October 2012.

Contacts/Queries

Business Development Technology Team +44(0) 20 7797 3211

Connectivity@londonstockexchange.com

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Q & A Session