software engineering g22.2440-001€¦ · – static and dynamic aspects • implementation view...
TRANSCRIPT
Software Engineering
G22.2440-001
Session 7 - Sub-Topic 2
Sample Enterprise Application Design
Dr. Jean-Claude Franchitti
New York University
Computer Science Department
Courant Institute of Mathematical Sciences
Best Practices in Technical
Architectures for Fixed Income
Market Participants
Dr. Jean-Claude Franchitti
2
Presentation Agenda
• Observations of a Former Trader
• Fixed Income Technical Architectures
– Architecture Development Methodology
– Fixed Income Business Process Maps
– Fixed Income Solution Capabilities Matrix
– Deriving a Conceptual Technology Vision
– From the Conceptual Technology Vision to a Logical Infrastructure
– From the Logical Infrastructure to a Physical Solution
– Physical Solution Implementation Steps
• Conclusion
Observations of a Former Trader
4
Trading Environment Characteristics
Anonymity
Liquidity
Transparency
5
Brokers’ Broker Were They Efficient?
• Human factor
• Limited network of contacts
• Largest firms control the inventory
• Regional broker/dealers not well serviced
• Difficult to unwind odd-lot positions
• Phantom trades
• Buy-side firms are not a part of the equation
6
Where Are We Now? Automated Trading Systems (ATS)
• Eliminates the Human Factor
• Buy-side is involved
• More regional bank and foreign institution participation
• Internet – A border-less enterprise
All of which creates better Liquidity and more Transparency in an
Anonymous environment.
7
Six Drivers for Change
• Institutional and Retail customers
• Brick and mortar sell-side institutions
• Traditional buy-side firms
• Broker’s brokers
• Regulatory
• Entrepreneurs
8
Challenges
• Existing legacy systems and newer ATS’s will need to handle anticipated
increases in trade volume implied by the development of STP.
• Fixed Income securities can have complex structures. Trading systems will
need to incorporate proper analytics to calculate various essential data.
• There are many types of Fixed Income securities which trade in different
ways. Standardized trading methodologies will need to be applied.
• Security information repositories will need to be large enough to hold data
on millions of securities.
• Present front-end interfaces are no more than client/server versions of
legacy systems.
• Back-office systems are antiquated. It may not be feasible to integrate them
if they cannot support the new economy business.
• The new Fixed Income market of tomorrow may require an Application
Program Interface (API) to a single Fixed Income exchange.
• T+1 must be incorporated into new technology.
Architecture Development
Methodology
10
Architecture Vision
The eHub Securities Framework
PersonalBlotter and
Services
MessageHandlers
ExecutionEngines
ContinuousNet
SettlementSystems
LedgerOperations
InformationEngines
SecurityMaster
SystemBlotter and
Services
Browser/streaming interfaceDirect systems interfaces
Client Sites
Distributed Hubs
Processing Centers
Adapters, connectors,
Message brokers, linkagesDistributed rules processors
Valuations and
Market data feeds
PriceSubscriptions
Personalization Rules
VerificationValidation
Rules Execution
Order and NOE
Rules and Routing
ECN’s, Exchanges
Direct Clients
Clearing and Settlement
Rules Execution
Portfolio, Trust, Asset
Ledger Rules
Risk, Forecast
CRM, Budgets and Rules
Transfer Agency, Custody Rules
Assets/Institutions/Prices
Portal and
Service Interfaces
OrderTrading and
Management
ServiceManager
PriceManager
11
Vision and
Objectives
Process
Model
Solution
Architecture
Mapping Vision to Solution
12
WORK STREAMS
Customer facing
IT analysis and design
Business processes
Regulatory analysis
Accounting and
fiscal analysis
Competitive
analysis
Business case
JV and partner-
ship analysis
Go-to-market
strategy
OUTPUT
Preliminary Future State Model
– Preliminary IT Architecture Design
– Preliminary Business Process Design
• Interviews • Demographic research
• Current IT state assessment • Architecture design/collaboration
• Current business process assessment • Operating model design/ collaboration
• Deal structure assessment • Regional regulatory analysis for operating
model
• Tax assessment • Global analysis of tax implications for
operating model
• Regional competitive assessment (including Web site evaluation)
• Demographic research
• Documentation of revenue and cost driver • Financial model development
• Document findings from due diligence conversations
• Develop general terms and conditions of JV/partnership
• Document integration plan for all work streams
• Strategic plan
Extraction of Capabilities
Refinements
Validation
Final Future State Model
– Future State IT Architecture Design
– Future State Business Process Design
Constraints
Itera
tive
FUTURE STATE REALIZATION PROCESS
Fulfilling the Objectives to Support the Vision
13
Architecture Design Methodology
Business Constraints
Application Model
Content Model
Web Interface
Data Model
Logical Data
Principles
Assumptions
Constraints
Presentation
Navigation
Look and Feel
Business model
Organization
Location
Process
Logical Application Model
Execution &
Market
Systems
EFI
Execution
Systems
FX
Execution
Systems
Market
Systems
Core Components
Services
Events
Externalization
Licensing
Messaging
Naming
Persistence
TransactionSecurity
Common Facilities
Backup /Recovery
Channels
ErrorHandling
XML POP
Help XML MOM
Monitoring
PerformanceTuning
Query / Search
Reporting
SystemAdmin
Domain Specific
Client API
EFI ExecutionInterface
FX ExecutionInterface
MarketInstrument
Reference data
Markets
Portalinterfaces
Client Handler
Client to Core
components
Handler
Global Front End
System
Client
Interface
Components
Technology Infrastructure Model
Execution &
Market
Systems
Instrument
Repository
Foreign
Exchange
Market
Systems
Euro Fixed
Income
Core ComponentsClient Handler
Preferences and
Operating
Constraints
Su
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Administrator
XML, SWIFT, FIX,
Email, Fax
Client
Workstation
System Admin
& Support
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14
For every 1M
visitors, 40%
don’t return
due to
incomplete
content; lost
cost of their
lifetime
value is
$2.8M
$1.5M-$2.1M
wasted on
site
redesigns
that don’t fix
the right
problem
Right to Left Thinking...
Architecture Development Map
Customer &
Business Models
Infr
as
tru
ctu
re
Ap
pli
ca
tio
n
Abstract Concrete
Domain
Independent
Domain
Dependent
Domain
Client Preferences
Application
Patterns
Analysis
Analysis
Application Model - Data Model - Business Model - Content Model
Technical Solution Development
Technical
Solution
Development
Technical
Solution
Development
Architectural Styles
Domain
Models
Questions ?
Questions ?
Application: - Data
- Business Logic
- Content (Screens)
KITS
Frameworks
Concrete Costs Initial Costs
Abstract Costs
Concrete Costs
Logical
Infrastructure
- Win XP/ UNIX
- Broadvision
- SAP
- Application Server - Transaction Processing
- Persistence
- OSA Abstract Costs
Technology
& Software
Proposal End Point
Technical
Solution
Development
Application Production
(Approach/ Assembly/
Delivery)
Domain Analysis
Customer Information
Gathering
Information
Not Specific to Domain
Domain
Specific
Information
As information is collected, work effort,
estimates and solution becomes concrete
15
Architecture Design Approach
Object-Oriented Analysis and Design
• UML models and diagrams
Design Assumptions
• Architectural capabilities are based on a limited set of
business and technical requirements
• Simplicity, elegance, intelligibility, well-defined levels of
abstraction, and clear separation between interface and
implementation at all levels
Architecture Object Model
• Application architecture model
• Application infrastructure
– Application Framework
• Technology infrastructure model
– Physical architecture instance(s)
16
Architecture Design Approach (continued)
Logical View Implementation View
Process View Deployment View
Use Case
View
Use Case
View
“4+1” Architecture View Model
17
“4+1” Architecture View Model
Describes the Architectural Vision
Model helps represent the various constraints on the architecture
Provides multiple perspectives to represent the system
• Logical view
– Static and dynamic aspects
• Implementation view
– Organization of modules within the development environment
• Process view
– Decomposition in terms of execution flows, and flow synchronization
• Deployment view
– Describes hardware resources and associated software deployment
• Use case view
– Motivates and justifies the architectural choices (i.e., “the glue”)
“4+1” Architecture View Model
18
Application Architecture Overview
Enterprise Application Suite
• Channels
– Web Portal
• Web Interface
– Web View
– Web Controller
• Enterprise Services
– Application Enterprise Services
• Business Controller
– Client Interface
– Client Handler
– Component Manager
• Business Object Model
• Infrastructure
– Services
– Common Facilities
– Domain Specific Facilities
19
Architecture Design Summary
Driving Forces:
• Functional Requirements document
• Internal design guidelines
• Technology Preferences
• Software Architecture = Elements + Patterns + Motivations
• “4 + 1” View Model
• Model View Controller (MVC) Concept
Fixed Income Business Process
Hierarchies and Maps
21
Sales / Marketing Order Room
Customer Acquisition Place Orders
Product Determination
Product Promotion
Campaign Strategy
Purchase & Sales New Accounts Stock Record
Reconcilement
Confirm GTC Orders
Organize Pending Orders
Customer Confirmation
Booking
Clearing & Settlement
Figuration
Recording
Brokerage
Open Accounts
Account Maintenance
Process Thread - does not currently exist
Legend:
Process Thread
Primary Process Group
Intermediate Group
Account Numbering
Audit
Security Movements
Margin
Account Maintenance
Sales Support
Clear Issuance of Checks
Items Due
Extensions
Close Outs
Delivery of Securities
Accounting Proxy & Capital Reorg Cash / Securities Inventory Dividend
Proxy Voting
Annual Reports, etc. Daily Cash Record
Adjusted Trial Balance
Bookkeeping
Profit & Loss Statement
Trial Balance
Establish Accounts
Bank Loan
Vaulting
Receive & Deliver
Stock Loan/Borrow
Transfer
Reorganization
Cash Dividends
Stock Splits
Due Bills
Bond Interest
Generic Trading Business Model
22
Average Present Day Solution Fixed Income Trading Process Map
Client
OTC
Market
Submits
Order
Validate Order at Sales Desk
Valid
"Not a valid
order"
NO
Route to
Trading
Desk
"Electronic
pass
through"
Electronic
submission
execution
Non
Automated
Execution
No
Monitor
Execution
Confirm
Execution
(price Qty, Etc.) Record
Order
Update
customer account
yes Front/Back
Office
Electronic
Execution?
Yes
Client Client Places Order Confirmation
Mailed to the
customer
Sales Desk Calls
Client
23
Sales / Marketing Order Room
Customer Acquisition Place Orders
Product Determination
Product Promotion
Campaign Strategy
Purchase & Sales New Accounts Stock Record
Reconcilement
Confirm GTC Orders
Organize Pending Orders
Customer Confirmation
Booking
Clearing & Settlement
Figuration
Recording
Brokerage
Open Accounts
Account Maintenance
Account Numbering
Audit
Security Movements
Margin
Account Maintenance
Sales Support
Clear Issuance of Checks
Items Due
Extensions
Close Outs
Delivery of Securities
Accounting Proxy & Capital Reorg Cash / Securities Inventory Dividend
Proxy Voting
Annual Reports, etc. Daily Cash Record
Adjusted Trial Balance
Bookkeeping
Profit & Loss Statement
Trial Balance
Establish Accounts
Bank Loan
Vaulting
Receive & Deliver
Stock Loan/Borrow
Transfer
Reorganization
Cash Dividends
Stock Splits
Due Bills
Bond Interest
* * * *
* * *
* * *
Process Thread - does not currently exist
Legend:
Process Thread
Primary Process Group
Intermediate Group
* impacted by BSCHBroker solution
*
Sample Target Business Process Hierarchy
24
Resulting Solution Fixed Income Trading Process Map
Client
OTC
Market
Client logs in
"Personalized
" Web Page Submits
Order
Validate Order
Valid
"Not a valid
order"
NO
Manual Review
Needed
Yes Is this a product in your
inventory or available on
ECN.
No
Route to
Trading
Desk
Yes
Electronic Trading
Available
No Yes
"Electronic
pass
through"
Electronic
submission
execution
Non
Automated
Execution
No
Monitor Execution
Confirmation
Confirm
Execution
(price Qty,
Etc..)
Update
customer
account
"Real-time
alert"
Is it Domestic yes
Trigger
FX No
FX Process
Front/Back
Office
Electronic
Execution?
Yes
*
Client Client Calls
in Order
Sales Desk
Contacts
Client Record
Order
25
Typical Fixed Income Legacy Systems
System FunctionalityOrder Process OPICS Order routing system
Clearing/Settlement INDEVAL The central clearing system forMexican Securities
Custody OPICS Performs Custody role for retailfixed income products
System FunctionalityOrder Process Rossi (OPICS)
S.A.M.SIOPEL
Used for accounting purposes Order routing system System that shows the market
Clearing/Settlement CRYL
EUROCLEAR
CEDEL
The central clearing system forArgentina fixed income products
A clearing vehicle for internationaltrades
A clearing vehicle for internationaltrades
Custody Rossi Performs Custody role for retailfixed income products
Fixed Income Solution
Capabilities Matrix
27
Drivers
Technical Competitive Customer
Customization / Personalization
Customer Relationship Management
Efficient cross- and inter-enterprise communicationFast, cost-efficient data links with partners
True integration
Continuously available hardware platform (24 x 7)
Flexibility
Global portal (multi brand, multi channel)
Localization
Open, extensible, flexible architecture
Global eTrading business application support
Best-of-breed global e-trading solution
Secure transactions
Collaboration (online chat)
Real-time quotes, financial news, research
Online help and training
Alerts
Analytics (“what if” scenarios)
Cap
ab
ilit
ies
Online operation (order status, billing & pricing,accounting, portfolio management, etc.)
Preliminary Capabilities Matrix
Deriving a Conceptual
Technology Vision
29
Security Personali-
zation Community
Content
Management Catalogs Commerce
Information
Access
Enterprise Application Frameworks /Servers
Other Application Frameworks /Servers
Hardware/Operating Software
Hosting Services
Systems Management
Application Suites
Bu
sin
es
s
Pro
ce
sse
s
Ap
plic
ati
on
Infr
as
tru
ctu
re
Op
era
tio
ns
Using an Architecture Framework
30 Legend: VPN: Virtual Private Network I/Fs: Interfaces ECNs: Electronic Communication Networks
Integrated
Value Chain
Support System
—Users— — Functions —
Customer Support
Customer Profiling
Analytics
Customer
Relationship
Management
Country management
Online Trading
Research
Community/Chat
Education
Central Office
FI E-Trading
Customers
Marketing/
Sales
Global
Front-
End
System
Web / IVR / Fax back
Country
Offices
Accounting
IT
Management
Call Center
IT
Country
CEO
Global Account Mgmt
Administration
Development
Support
CEO
Vision & Strategy
Legal
Technical
Support
Retail
Clients /
Advisors
Web / VPN / Phone
Web / VPN /
Phone
Web / VPN /
Phone
— Connectivity —
VPN / Phone
Web / VPN /
Phone
Web / Email / Chat / Phone / PDAs / VPN
— Front Office I/Fs — — Enterprise Services —
— Data Repositories —
Integrated
Trading
Data Warehouse
3rd Party
Services
Local Databases
Local Back-Office
Systems
Exchanges
ECNs
Data Providers, etc.
— 3rd Party System I/Fs
— 3rd Party Broker Systems
Remote E-Brokers Web / VPN / Phone
A/C Open
Kiosks
Branch
Support VPN / Phone
Order Mgmt Trading Web / VPN / Phone
Marketing/Sales Country
Campaigns
Settlement,
Operations &
Accounting
Customer &
“Street-Side”
operations &
accounting
VPN / Phone
VPN / Phone
Operations & Technology Support Vision Technology support should support a vision that will guarantee a unique experience for
e-Trading customers anywhere in the world.
31
Order
Confirmation
Local
Office Staff
Main
Office Staff
Order
Routing
Order
Placement Local
Office Staff
Retail
Client Internet
M
e
s
s
a
g
e
B
r
o
k
e
r
Internet
Technology
Legend: Global Front End
System
Integrated Value Chain
Support Systems
Local Back-Office
System
Third Party
Services
Order gets
routed
locally
Sample Trading Process
From a Conceptual Technology
Vision to a Logical Infrastructure
33
Main Office Staff
(office / virtual)
Office
Customer
Retail or Institutional
Clients/Advisors
Management
Operations
IT
Online Trading
Research
Community/Chat
Education
Business
FunctionsUsers
Win
NT
Win
98
IVR
Office
Intranet
Internet
PBX-Based Service
Connectivity
Front Office Interfaces
Call Forwarding,
Teleconferencing, etc.
Front Office Apps
Ft Off. & Web Apps
Remote Access
Maintenance AppsMainOffice only
Web-Enabled
Applications
E-Trading Customer
Interfaces
Telephony-Based
Services
Web-Enabled
Applications
"Lights Out" Svcs
XML, SWIFT, FIX, Email, Fax
BS
CH
Glo
ba
l C
om
mu
nic
atio
n N
etw
ork
(L
AN
s &
WA
N)
(Eth
ern
et,
TC
P/I
P)
Remote Office
LANs
Web & Enterprise
Integration Portal
Internet
Web Server Subnet
Relationship Commerce Application Server(distributed n-tier architecture)
Enterprise Application
Integration (EAI) Server
DataWarehouse-Driven Decision Processing
Application Package
Content Management System
Integrated Value Chain
Support System
In-CountryTrading & Back Office Support Systems
Data Repositories
Integrated Data Architecture Layer
(Aggregated & Detailed Data)Enterprise Services & Back Office Applications
Desktop
Filesystems
(BSCH LAO office(s))
Customer Information Database
(Integrated Customer View)
In Memory Database
Local Data
Replicas
Third Party Data
Legacy Operational Data
Legacy Operational Systems
Front Office Apps
Customer Profile
User type
Customer Activity
Best Practice Info,
Svc. Level KPIs
Market Trends
etc.
Data Mining
Clearing / Settlement
Risk Management
Financial Applications(Main and Country Offices)
Communication(Incoming Call Monitoring Agent)
Business Intelligence(Customer Analysis, Supply Chain Planning)
Customer Care Services(Call Center Support: Financial & Systems)
Personalization Interface
Content Mgmt. Interface(Browsers, PDAs, WAPs)
Remote Training Interface
B
u
s
i
n
e
s
s
I
n
f
o
r
m
a
t
i
o
n
W
a
r
e
h
o
u
s
e
Customer Calls Handling(ACD, Flex-Routing, Call Center Mgmt.)
CSR Assisted Services(Product Support, Issue Resolution, Proactive
Account Mgmt.)
EmailSWIFT,
FIX, XML
EnginesFax
Internet-Based Services(XML/SWIFT/FIX, Email, Browser)
Collaborative Applications(Forums, etc.)
Real Time Services(Financial Web Channels, Chat, TV Events, etc.)
Collaborative Applications(Same as for BSCH Customer below)
Security(Firewall / Proxy Server)
Internet Services(web, ftp, email & news servers)
Voice/Data IntegrationTeleweb / Web Integration Services
(Consolidated Messaging, Telephone-Based Web
Services, Video Conf., etc.)
Search Engine
Transaction
Service
Messaging
Service
Analytical Applications(Performance Reports, Performance Measurement Analysis, Trend Analysis and Forecasts, etc.)
DataWarehouse Information Template
Document Mgmt.Image/Graphics
Mgmt.Video Server
(future)
Process Automation &
Dynamic Content Mgmt.
Session/State Mgmt.
Personalization Server Customer Care Services(Cust. Service, Help Desk, Sales Automation, QA)
T1
, 6
4K
, e
tc.
Financial Apps Logic(e.g., order book mgmt.)
Site Development Svc.(Updates Staging Server)
Integrated Trading
Data Warehouse
Server
Metadata Repository
OLAP & Staging Engines
Op
era
tio
na
l D
ata
Sto
re (
de
taile
d b
usin
ess d
ata
)
Vir
tua
l D
ata
Cu
be
(a
gg
reg
ate
d b
usin
ess d
ata
fo
r B
I a
pp
lica
tio
ns)
Me
taD
ata
Re
po
sito
ry
(via VPN)
Software / Global Content
Monitoring / Backup
PBX-Based Services
Country
Offices Staff
(office / virtual)
Branch Support
Call Center
Marketing/Sales
IT
Settlement, Operations
& Accounting
Country CEO
FaxbackIVR
Telephony Svcs
Win
NT
Win
98
Office
Intranet
Front Office Apps
Ft Off. & Web Apps
"Lights Out" Services
Telephony Svcs
PDA/WAP Applications
Win
98Web Applications Financial Applications
(Market Facing Applications)
Internet
Naming
Service
Data Integr.
Service
DataWarehouse Interface
XML Parsing & Translation
Custody Management
Corporate Actions Mgmt.(Corporate Mail, etc.)
Research Mgmt.
Legacy Integration Middleware(straight through processing support software)
Trading & 3rd Party Interfaces(local exchanges, OTC, ECNs)
Global order book data
Global accounts data
Global stock symbols
Research info indexes
Time critical information
Third party research
News
etc.
Content-Mgmt Repository
XML-based presentation
oriented publishing
templates
Local order book data
Local accounts data
etc.
Regulatory Management
Order Fulfillment(FI, Equity, Funds, Others)
Order Management & Accounting
Self Care Services(tutorials, online help)
Implemented
Unimplemented
Legend:
Logical Architecture Diagram
34
PBX-Based Service
Front Office Interfaces
Call Forwarding,
Teleconferencing, etc.
Remote Access
Maintenance AppsBSCH LAO Office only
Web-Enabled
Applications
E-Trading Customer
Interfaces
Telephony-Based
Services
Web-Enabled
Applications
"Lights Out" Svcs
Web & Enterprise
Integration Portal
Web Server Subnet
Relationship Commerce Application Server(distributed n-tier architecture)
Enterprise Application
Integration (EAI) Server
DataWarehouse-Driven Decision Processing
Application Package
Content Management System
Integrated Value Chain
Support System
Trading & Back Office Support Systems
Enterprise Services & Back Office Applications
Legacy Operational Systems
Front Office Apps
Data Mining
Clearing / Settlement
Risk Management
Financial Applications(Main and Country Offices)
Communication(Incoming Call Monitoring Agent)
Business Intelligence(Customer Analysis, Supply Chain Planning)
Customer Care Services(Call Center Support: Financial & Systems)
Personalization Interface
Content Mgmt. Interface(Browsers, PDAs, WAPs)
Remote Training Interface
Customer Calls Handling(ACD, Flex-Routing, Call Center Mgmt.)
CSR Assisted Services(Product Support, Issue Resolution, Proactive
Account Mgmt.)
EmailSWIFT,
FIX, XMLFax
Internet-Based Services(XML/SWIFT/FIX, Email, Browser)
Collaborative Applications(Forums, etc.)
Real Time Services(Financial Web Channels, Chat, TV Events, etc.)
Collaborative Applications(Same as for BSCH Customer below)
Security(Firewall / Proxy Server)
Internet Services(web, ftp, email & news servers)
Voice/Data IntegrationTeleweb / Web Integration Services
(Consolidated Messaging, Telephone-Based Web
Services, Video Conf., etc.)
Search Engine
Transaction
Service
Messaging
Service
Analytical Applications(Performance Reports, Performance Measurement Analysis, Trend Analysis and Forecasts, etc.)
DataWarehouse Information Template
Document Mgmt.Image/Graphics
Mgmt.Video Server
(future)
Process Automation &
Dynamic Content Mgmt.
Session/State Mgmt.
Personalization Server Customer Care Services(Cust. Service, Help Desk, Sales Automation, QA)
Financial Apps Logic(e.g., order book mgmt.)
Site Development Svc.(Updates Staging Server)
Integrated Trading
Data Warehouse
Server
Metadata Repository
OLAP & Staging Engines
Software / Global Content
Monitoring / Backup
Financial Applications(Market Facing Applications)
Naming
Service
Data Integr.
Service
DataWarehouse Interface
XML Parsing & Translation
Custody Management
Corporate Actions Mgmt.(Corporate Mail, etc.)
Research Mgmt.
Legacy Integration Middleware(straight through processing support software)
Trading & 3rd Party Interfaces(local exchanges, OTC, ECNs)
Regulatory Management
Order Fulfillment(FI, Equity, Funds, Others)
Order Management & Accounting
Self Care Services
Customer Relationship
Mgmt
Global eTrading,
Account Mgmt, Order
Mgmt, Portfolio Mgmt,
Financial Planning,
Financial Statements
News & Information,
Research, PDF-
formatted reports and
statements
Localization and
Customization
Global eTrading
Localization and
Customization
Community
Secure Online Transactions Voice/Data Integration
Account Mgmt, Order
Mgmt, Portfolio Mgmt
System and Application
Maintenance & Support
Community
24x7 Services
Account Mgmt.,
Customer Relationship
Mgmt
Alerts
Content Mgmt,
Research, News &
Information
Alerts
Education, Games
24x7 Services
Business Applications
Support
Global eTrading
Research, News &
Information
News & Information
Archives
Content Mgmt
Secure Session & State
Mgmt.
System and Application
Maintenance & Support
Help, Tutorials, etc.
Architecture Enabled Capabilities
35
Architecture Scalability Features
• “Statelessness”
• Subject-based distributed queues (EAI)
• Load distribution
• Fault-tolerance
– Notification: Primary/Secondary failover
– Recovery
– Verification against state signature
– True Hot Standby
36
Architecture Support for Fixed Income Market Inventory
• Role-based market views
• Pre and post-trade workflow supported
• All Fixed Income instruments supported
37
Architecture Support for Client Access
• Local, specialized user interfaces
• API’s
• Internet access
• Legacy order streams
38
Architecture Security Features
• Encryption standards: 128 bit RSA: RVDS
• X.509 compliant certificates: TIBCA
• Level 5 firewall architecture
39
Architecture Support for Legacy Order Stream
• Legacy messaging interfaces seen as a user of the system
• Interoperates with existing users
• Can act as a bridge between deployed hubs
From a Logical Infrastructure to
a Physical Solution
41
Custom Integration and/or Integrated Applications (SAP, Baan, Lotus Notes, PeopleSoft)
Security:
Firewalls–Axent,
Cybercop,
Firewall-1
Encryption–
Security
Dynamics/RSA,
Verisign
Certificates–
Entrust,
GTE/Cybertrust,
Thawte Verisign
LDAP–Microsoft,
Netscape Other–
Netegrity/SiteMinder
, Platinum/Security
Personalization:
Accipter,
Andromedia, Aptex,
ATG, BroadVison,
DoubleClick,
Engage, Netgravity,
Net Perceptions,
Vignette/StoryServer
Community:
Acuity/iChat, AT&T,
Brightware, eshare,
General Interactive,
Lexis-Nexis,
Lotus/Domino,
Microsoft/NetMeeti
ng,
Netscape/Collabra,
Podium,
Revnet/UnityMail,
Siebel, Vantive
Content
Management:
ATG, BroadVsion,
Documentum,
FactPoint,
FutureTense, H-
P/OpenPix,
Inso/Dynabase,
Interwoven, Lotus
Notes, Open Text,
RealNetworks/Real
Audio-Video,
Vignette
Catalog:
Aspect, ATG,
BroadVision, iCat,
OpenMarket/LiveC
ommerce,
Saqquara
Commerce: ATG,
Atlantic Transaction
Services, Ariba,
BroadVision,
ComerceOne,
ConnectInc,
CyberCash,
ECCubed,
H-P/VeriFone,
IBM/net.commerce,
InterWorld,
Microsoft/SiteServe
r Commerce
Edition, MOAI,
Netscape/*Xperts,
Open
Market/Transact,
OpenSite, Sterling,
Tradex,Tradiant,
Tradium,
TradingDynamics,
Transpoint
Information Access:
ATG, BroadVision,
CrossWorlds,
Fulcrum, H-
P/ChangeEngine,
Inktomi, Microsoft/
SearchServer,
Objectspace, Verity
Inter-Enterprise:
data exchange
(XML/EDI):
CardoNet,
EpiCenter, Extricity,
MBA, OnDisplay,
Sterling,
WebMethods
Web Application Frameworks–Allaire/ColdFusion,
Apple/WebObjects, ATG/Dynamo, Bluestone/Sapphire
Web, BroadVision, HAHT/HAHTSite, IBM/WebSphere,
Microsoft/Site Server (Enterprise Edition),
NetObjects/Fusion, Pramati Technologies/Proton,
SilverStream, Vignette
Business Application Frameworks–CSC/M-Lynx, BEA
WebLogic, Inprise, IONA/Orbix, Microsoft/MTS,
Netscape Application Server, Oracle Application
Server, Pervasive Software/Tango Enterprise,
Sun/NetDynamics
Database–Informix, MS-
SQL, Oracle, Sybase
Systems Management–BMC/Patrol, HeadsUp,
Hewlett-Packard/HPOpenView, Manage.com, Sun,
SystemHealth
Testing–RadView/WebLoad, RSW/e-test, LoadRunner, Usage Reporting–Andromedia, WebTrends,
WindDance
NT/Intel - Compaq, Data General, Dell, GateWay,
H-P
Network - ArrowPoint, 3Com, Cisco UNIX - Hewlett-Packard/HPUX, IBM/AIX,
RedHat/Linix, Sparc/Solaris
Hosting - Digex, EMC, Exodus, GlobalCenter.com, GTE Internetworking, HostPro, MCI, Navisite, PSInet, UUnet
Co
mp
on
en
ts
Applications
Frameworks
Platforms
Systems
Management
Hardware/
Software
Hosting
Typically read as Vendor/Product Name
Considering Mainstream Tools
42
Evaluation Criteria (1) Web Enabled
Legacy (2) Combined
Vendor Packages (3) Component
Web
Speed to Business
Long-Term Viability
Cost of Ownership
Alignment with Vision
Business Risk
Simplicity/Ease of Use
Overall Rating
Worst
Good
Best
Evaluating Alternatives
43
Physical Architecture (Example 1)
Markets
Client Interfaces - Office
Component Manager
Client Handler
TIB
/RV
Firewall
Database Server
Application
Server
LA
N (
dual)
LA
N (
dual)
Firewall
Firewall
Router
Router
Streaming
Server (http)
Streaming
Server (https)
Firewall with IIOP
Tape SiloVeritas Network
Backup (shared service)
CSC Management Firewall
CSC Systems & Network Management Environment
Intrusion
Detection
Connects to
all devices below
Security &
Entitlements Srv
Intrusion
Detection
Intrusion Detection
TIC Cache
Internet
JPM IntranetClient Services
Administrator
System Admin
& Support
Market
Data
HSRP
Su
n E
22
0/S
ola
ris 2
.6n
Cip
he
r SS
L a
cce
lera
tor
We
bsp
he
re:
- HT
TP
svr
- se
rvle
t en
gin
e- js
p e
ng
ine
Alteon AC3
Sun E220/Solaris 2.6Checkpoint Firewall-1StonebeatIONA Wonderwall
Su
n E
22
0/S
ola
ris 2
.6C
he
ckp
oin
t Fire
wa
ll-1S
ton
eb
ea
t
Su
n E
42
0/S
ola
ris 2
.6W
eb
sp
he
reM
Qse
ries
Su
n E
45
00
/So
laris
2.6
50
GB
Dis
k A
rray
Syb
ase
11
.9.2
Su
n E
42
0/S
ola
ris 2
.6e
nC
om
me
rce
Ge
tAcce
ss
50
GB
Dis
k A
rray
Execution Systems
Market Systems
Execution Systems
Login, Authentication,
Non-Repudiation
Flowbiz RDS (Instrument data
and Dictionary Interface)
Flowbiz Market Instrument Hub
(MIH)
Foreign Exchange
Euro Fixed Income
ECN's
Exchanges
Market & Price Data
Third Pary Services (e.g. News)
Web-EnabledApplications
Flowbiz Client &
System
Administration
Interfaces
Client Interfaces - Clients
Client Services
Administrator
Web-EnabledApplications
Flowbiz Client
Interface
XML, SWIFT, FIX,
Email, Fax
Internet Based
Services
Personalization
Interface
Channels Interface
Sun E420/Solaris 2.6200GB raid5 Disk ArrayiPlanet Enterprise SvrWebtrends
Admin/Reporting
Server
Load
Balancers
Web Server
Servlets & JSP
Su
n E
22
0/S
ola
ris 2
.6T
IBC
O S
trea
min
g S
vr
nC
iph
er S
SL
acce
lera
tor
Intrusion Detection
Sun E220/Solaris 2.6Checkpoint Firewall-1Stonebeat
NF
R F
ligh
t Re
co
rde
rR
em
ote
-1N
FR
Flig
ht R
eco
rde
rR
em
ote
-1
Support Services
XML Core Services
Session/State/EOD Mgmt
Process Automation
Dynamic Content Mgmt
Site Development Service
Financial Apps Logic
Blotter
Price
Order
Message Broker
Client & System Admin
Entitlement & Security
Connectors
FX, Euro, FI, MIH,
RDS(MQ)
Client Handler
Client Handler Servlets:- session handler- price request handler- profile handler- order handler- personalization handler- news handler- account handler- XML MOM/POP handler
NFR Flight RecorderRemote-1
Client
Workstation
44
Web Server Farm
Mainframe
(OS 390)
Mainframe
SystemSCLV
Exchange
Custody
Mainframe
(OS 390)
RETO
Funds Broker
(DEC Alpha)
Institutional
Funds
Net Asset
Values, Customer
Info
Orders
Portfolio Mgmt
Private
Funds
MQ Series
SVB (Broker Dealer)
Research
Management
Stratus
Web Server(Sun E5500)
MQ Series
CGI Applications(trading, research,
funds scoring, etc.)
SNA (LU0)
HTML Templates
Informix DB
(session
and user
info)
Web Browser
ACD, CDI, etc.
Existing Web
Solution
Web Browser
PDA
Web Server
(JWS)(Sun E6500)
WAP Server(Sun E4500)
Proposed
Architecture
Web Server
Server Farm
(data mining, content
mgmt, EAI)
App ServerWebsphere
(Sun E5500)
Database ServerOracle
(Sun E5500)
Personalization
Server(Sun E5500)
Web Browser
Branch Offices
Servlets,
EJBs,
JSP
Future Web
Solution
Call Center
EAI Server(Sun E5500)
EA
I M
essa
ge
Tra
nsp
ort
Back office
Sample Fixed Income Architecture
DM
Z
Physical Architecture (Example 2)
45
Inte
rnet
Screening Router
Outs
ide N
etw
ork
Private
Netw
ork
Bastion Host
Inside
Bastion Host
Inte
rnal N
etw
ork
Proxy Server
Firewall
Web Server
Local Director
Local Director
Web Server
Firewall
Development Server Farm
EAI
Server
Database
Server
Application
Server
Production Server Farm
EAI
Server
Application
Server
Database
Server
Staging &
Contingency
Server
Admin
Server
Production
Support
Server
Existing BSCH Systems
IBM Mainframe UNIX-based NT-basedDMZ
Technology Infrastructure
Physical Solution
Implementation Steps
47
Pra
cti
ce A
reas
Stages Discover Design Develop Deploy
Business System
Development
Management and
Quality
Business Modeling
User Experience
Content Development
Application Architecture and Development
Technical Architecture and Development
Testing
Performance Engineering
Program/Project Management
Configuration Management
Blo
ck
s
Development Methodology
48
Location
Data
Technology
Organization Business Process
Application
• Implementation team
• Training team
• Projects creation and update
• Projects approval
• KPI creation
• Project information retrieval
• System administration
• Data conversion
• Supplied volume
data
• Hardware
• Standard system software
• Reporting software
• Ad-hoc spreadsheet functions
• Security and performance
• Site navigation design
• Site content design
• Reusable components
• Security workflow
• Help
• Office hosting development
Identifying Domains of Change
49
Requirements
Analysis
Development is an iterative process,
where for each subset of requirements,
components must be analyzed,
designed, developed and deployed
Design
Develop
Deploy
Design
Develop
Deploy
Discover
Discover Design
Develop
Deploy
Discover Release 1
Release 2
Release 3 ...
Proposed Project Lifecycle
Adding Iterations
Conclusion
51
Feature Summary
• Ubiquitous Client Access
• Pushes Status in Real-time
• Framework Inter-operates with Legacy
• Support for Current and Emerging Standards
• Scales in Capacity and Function
• Optimization of Integrated Services
• Secure, Mission-Critical Infrastructure
52
Addressing the Challenges
Existing legacy systems and newer ATS’s will still need to handle
anticipated increases in trade volume implied by the development of STP.
Fixed Income securities can have complex structures. Trading systems can
plug and play analytics to calculate various essential data.
There are many types of Fixed Income securities which trade in different
ways. Standardized trading methodologies will need to be applied.
Security information repositories will need to be large enough to hold data
on millions of securities.
Present front-end interfaces are no more than client/server versions of
legacy systems.
Back-office systems are antiquated. It may not be feasible to integrate them
if they cannot support the new economy business.
The new Fixed Income market of tomorrow may require an Application
Program Interface ( API ) to a single Fixed Income exchange.
T+1 must be incorporated into new technology.