The London Stock Exchange(LSE)is
nearing a decision on the future ofits core trading
software, Tradelect.
The company
said in June that Tradelect, which has been operating for two
years, following four years of planning at a cost of £40m, could be
retired as it considers its options amid fierce competition.
According to a
report
in the Wall Street Journal, LSE CEO Xavier Rolet said itis
close to a decision on replacing Tradelect, anin-houseplatform that
uses Microsoft .Net technology.
No longer competitive
In June, the stock exchange said that Tradelect brought
next-generation technology to the company, but it now needs to
replace it or upgrade it to keep pace with changes in the industry.
"The question is whether we can keep competing with Tradelect. It
did the job of keeping us competitive and giving us next-generation
technology, but it is now six years since we started on the
project."
A spokesman said today that the stock exchange's position has
not changed.
But one source said the LSEis trying out at least one platform
from a third party supplier and an announcement is expected
soon.
Chris Skinner, CEO at think-tank The Financial Services Club,
said replacing Tradelect is a difficult task. "If itwants to buy
off the shelf, it will be difficult to be competitive because most
platforms are tied to competitors.
"It hasto replace Tradelect because it is no longer
competitive," he added.
