The financial trading community has seen a vast transformation in sophistication and globalization over the past several decades, due in large part to the adoption and integration of new technologies. Communication among the key players in the trading community -- specifically sell side, buy side, exchanges and brokers -- has greatly enhanced and accelerated the method through which trades are matched, executed and cleared. Technology has also enhanced and simplified the life of traders, enabling an increased focus on client service and revenue generation. These remarkable technological advances, which led to e-business, cell phones and the Internet, are now being deployed on the trading floor. The financial trading community of the future is unfolding today, providing the trader with greater flexibility, interoperability, ease of use and mobility than ever seen before.

The future of the financial trading community is filled with the promise of dramatic technological and business advances. Tools and capabilities are becoming available that will bring further significant enhancement and efficiency to the way that trading is conducted by individuals, teams, trading institutions and the greater global trading community. This will impact the lives of both traders and the technologists responsible for the associated tools and systems.

A Trader's View

Today, most professional traders utilize a powerful communications tool called a turret on their desktops. This tool, built specifically for the trading environment, provides compelling capabilities such as unlimited one-button conferencing, fully integrated-intercom and applications that provide for easy management of contacts and directory information, for example. In the near future, newer technologies, such as biometrics and voice recognition, will help the desktop device to not only become more personally responsive, but far more secure. Advances such as multi-channel directional sound and sensory emersion will enhance the trading experience to allow traders to make better use of all of their senses to quickly and intuitively perceive changing market forces and trends. Intelligent "call-bots" will be introduced that filter and route communications to the trader based on initial preferences and intelligent rules, which will over time be enhanced with the "learned" needs and priorities of individual traders. Through these and other new technologies and enhancements, the desktop of the future truly develops into the traders' "cockpit" providing all the tools and information, when and where necessary, to be successful, connected and efficient.

A Technologist's View

Today, technologists can implement an enterprise-based voice trading platform with enhanced flexibility and reliability, including global free seating and numerous business continuity plan (BCP) alternatives. In the near future, integrated, standards-based technology, implemented on a global, enterprise-wide scale, will further enhance a firm's ability to meet the rapidly changing needs of the market. Resources will be available when and where needed without costly and complex upgrades. Moves, adds and changes (MACs) will be executed via software applications with little to no cost. Through delivery of powerful Internet Protocol (IP) technology, simple, cost effective BCP will be available to ensure maximum asset utilization, as well as adherence to regulatory requirements. Connectivity will be available on an as-needed basis with provisioning of new connections as simple as adding a contact to an IM buddy list. These enterprise-wide systems will be managed in an integrated way -anytime, anywhere, with enhanced and flexible reporting tools.

With technology continuing to advance at an extremely rapid pace, no company can operate in isolation. This is why it is imperative for companies to partner with best in breed solution providers to ensure the timely introduction of high-quality technology to meet the needs of the financial trading community. Via partnerships companies will work side by side with customers to develop the tailored solutions required, embracing the enhancements and advances demanded, when and where they are needed.

What is unmistakable is that the virtualized trading environment is well on its way...a world of trading communications resources anywhere, any time. Some aspects of this virtual environment have already arrived. Soon, a fully virtual environment will enhance the world's financial markets by providing an approach that more effectively utilizes human and business capital and allows the financial trading community to focus on core, strategic business initiatives.

Jonathan Morton is Vice President, Customer Solutions at IPC, 212-858-7971; email: jonathan.morton@ipc.com; web: www.ipc.com.