Nasdaq has launched a cloud computing platform hosted on Amazon Web Services in a bid to use cloud computing to help market players reduce the burden of increasing regulation and data volumes.
FinQloud will serve as a platform for financial services applications that provide management and storage of financial data.
With increasing compliance requirements being placed on financial firms, where they are being tasked with increasing transparency by providing regulators with access to granular data of their activities, Nasdaq is hoping that FinQloud will provide a solution that is cost effective and scalable.
This is the latest in a string of announcements that have seen financial exchanges branch into offering cloud based solutions.
Two products are being offered as part of the initial launch. The first, entitled Regulatory Records Retention (R3), will provide broker-dealers with a storage and retrieval tool, which Nasdaq claims helps firms meet U.S. Securities and Exchange Commission rules on record retention.
The second, Self Service Reporting (SSR), allows broker dealers to perform on-demand analysis and reporting on their stored trade data.
All connections to FinQloud will be required to pass through an encryption key management system, which will be housed in private Nasdaq data centres, before directly connecting to Amazon’s platform.
"Financial services customers have unique regulatory requirements for many of their IT projects, and high expectations for operational performance. With the strong reliability, low cost, unmatched platform capabilities, and agility that AWS provides, NASDAQ OMX's FinQloud offerings, R3 and SSR, are tailor-made for AWS and cloud computing,” said Andy Jassy, Senior Vice President of Amazon Web Services.
“Storing and retrieving data can be done quickly, easily, and inexpensively. And with the scalability, cost-effectiveness, and flexibility of the cloud, customers can quickly conduct analysis and reporting regardless of the amount of data.”
He added: “With FinQloud, we're pleased that NASDAQ OMX will be able to combine their expertise in financial markets and regulatory compliance with the enterprise-class capabilities of the AWS Cloud.”