The other benefit to a PTP T-1, if it is mission-critical, is that there will be an SLO (service level objective) in your contract in addition to guaranteed max down time. In other words, if your line goes down, you are at the top of the priority heap and won't be left waiting for an internet provider to get a hold of their Tier 1 provider so that [they can get to the tech in your area.... etc etc.
T1 line - How Much?
- Thread starter equity_guy
- Start date
The bandwidth quoted here by various members really isn't as important as latency and data path as far as trading goes. If your connection is running at 6mbps during your test, it does not guarantee that this is what it consistently run at throughout the day. The max speed is something that the routers on both end build up, so there has to be enough information passing through to get to that max speed. More important is how long it takes for a packet to get there and for confirmation to come back. For most uses, 120kbps is plenty for trading purposes. The other speeds are like having a Bugatti Veyron claiming 250 mph+ but only having 1/4-mile of road to do it in.
When shopping for connectivity, always emphasize latency and hop counts. The more hops, the more delays the line will have as hops come in and out of service.
My experience has generally been that cable companies provide higher bandwidth (but then rob you of it when more subscribers come on the same segment you are on). I prefer DSL though. I have experienced little to no down time with DSL and some great consistency. If you will go with a dual connection, then make it cable AND DSL. The service is usually provided by one company anyway; for example, DSL from Earthlink or from AOL is a service provided by SBC anyway. So if SBC goes down, then both providers are down. Same with Cable service. Also bare in mind that when one connection goes down, there is a delay in switching to your backup connection. Your trading program, unless specifically designed for this, is bound to one connection only. It will likely require a restart to pick up the backup connection.
Good luck.
When shopping for connectivity, always emphasize latency and hop counts. The more hops, the more delays the line will have as hops come in and out of service.
My experience has generally been that cable companies provide higher bandwidth (but then rob you of it when more subscribers come on the same segment you are on). I prefer DSL though. I have experienced little to no down time with DSL and some great consistency. If you will go with a dual connection, then make it cable AND DSL. The service is usually provided by one company anyway; for example, DSL from Earthlink or from AOL is a service provided by SBC anyway. So if SBC goes down, then both providers are down. Same with Cable service. Also bare in mind that when one connection goes down, there is a delay in switching to your backup connection. Your trading program, unless specifically designed for this, is bound to one connection only. It will likely require a restart to pick up the backup connection.
Good luck.
Excellent post FT71. I would add that if available FTTH (fiber to the home) should be a top pick; its like DSL on steroids - all the benefits of a DSL (no sharing bandwidth at the neighborhod level like cable) without the problems of distance-based speed limitations and noise issues that DSL has.
I'm getting 15Mbps/2Mbps from Verizon for $45/month and the latency has been really good so far (of course as you previously pointed out nothing beats a point-to-point for lowest latency)
A point to point T-1 connection directly to your broker is going to cost at least $1500 per line per month plus 5K in installation. If anyone on here tells you differently they are either full of shit or their broker is in Kansas somewhere, ha! A T-1 to the internet is a waste since it is so much slower than a cheap cable modem line and not much more reliable either since the internet itself can still have problems causing you to lose connection. I imagine everyone here who is quoting prices just called the phone company and asked for their cheapest T-1, but I guarantee you that a private point to point connection into any New York City broker will be more in the range of what I quoted above. Don't waste your time calling up phone companies and asking, just call your broker. You can't choose your own provider anyhow, it is the broker who has the relationship with the providers and therefore they who pick the service you get.
Well, I can tell you that you can get it for less than $1,500 per month depending on location and the installation cost is not as much as you claim. I have had lines quoted out of Chicago and NYC to Washington, DC, West Palm Beach, FL, and San Diego, CA. Only the San Diego line exceeded your quoted price. Exactly how much your line will cost is dependent on the provider, the start and end locations and your negotiation skills.
No, I don't think I'm full of shit. But your opinion is acknowledged.
I had cable and couldn't deal with the constant outages. I'm too far out for DSL.
So I got a 1/2 T1 for $250 month. I've had it for 6 months. Outages: 0!
My provider even called one day to make sure I was having a good connection because their monitors said I might not be.
They also call me before any scheduled or unscheduled downtime to make sure it doesn't disrupt my work.
Even better, I just ran the Vonnage speed test and apparently I have full T1 download speed.
I trade enough that the extra $200/month is worth the peace of mind. When my cable service went out 30 seconds after the open and I had 70 opening only orders submitted $200/month seemed like nothing.
So I got a 1/2 T1 for $250 month. I've had it for 6 months. Outages: 0!
My provider even called one day to make sure I was having a good connection because their monitors said I might not be.
They also call me before any scheduled or unscheduled downtime to make sure it doesn't disrupt my work.
Even better, I just ran the Vonnage speed test and apparently I have full T1 download speed.
I trade enough that the extra $200/month is worth the peace of mind. When my cable service went out 30 seconds after the open and I had 70 opening only orders submitted $200/month seemed like nothing.
For my operation I am using carrier pigeon as my main, and smoke signals as my back up. I am on a dual wan system that automatically switches over when the pigeons arent feeling well.
The "CP" is PTP and runs about 3 days from Santa Barbara to the Merc.
My backup is also PTP and takes about a cord of wood, 2 copies of the NY Times (wadded up) and a half gallon of lighter fluid.
Except for periodic tests I have never used the backup, and a side benefit of the "CP" system is I have plenty of fertilizer for my lawn.
Cost for the primary system is pretty cheap, about 20/month.
I can buy a cord of wood for about $100
I notice that I have to plan my entries and exits well in advance,but otherwise nothing beats it.
Good luck
Steve
The "CP" is PTP and runs about 3 days from Santa Barbara to the Merc.
My backup is also PTP and takes about a cord of wood, 2 copies of the NY Times (wadded up) and a half gallon of lighter fluid.
Except for periodic tests I have never used the backup, and a side benefit of the "CP" system is I have plenty of fertilizer for my lawn.
Cost for the primary system is pretty cheap, about 20/month.
I can buy a cord of wood for about $100
I notice that I have to plan my entries and exits well in advance,but otherwise nothing beats it.
Good luck
Steve
