2026-03-23

Speed is not the real benefit of lower RFQ latency - synchronisation is

Robert Thorén
Partner, Head of Risk Solutions

Most discussions about RFQ latency focus on speed. But the real value of lower latency is something else entirely. When latency drops dramatically, pricing and risk engines finally begin to operate within the same moment in time.

In many trading environments, pricing appears fast, yet the surrounding infrastructure introduces subtle delays. Market data arrives slightly out of sync, risk calculations trail behind, and decisions are made using snapshots that no longer represent the true state of the portfolio.

Reducing RFQ latency does more than accelerate quoting. It compresses the time gap between pricing and risk evaluation.

When these processes operate within the same temporal window, the trading desk no longer reacts to fragmented signals. Each quote can be evaluated in the context of the entire portfolio at the exact moment the RFQ arrives.

The result is not merely faster quotes. It is quotes issued with full situational awareness.

In modern electronic markets, the real advantage of lower latency is not speed. It is coherence.

Robert Thorén
Partner, Head of Risk Solutions