Case Study – Building High Performance FIX Adapter for Trading Systems
About the Client
The client is a leading global financial services provider specializing in trading solutions that require high-speed, reliable, and secure data exchange. Their ecosystem heavily depends on the FIX (Financial Information eXchange) protocol for trade communication across multiple exchanges and counterparties. The client sought a future-ready, scalable solution to modernize their existing high performance FIX adapter system, ensuring seamless multi-session handling, flexibility, and faster upgrade cycles without service disruption.
Client Requirements
The client’s existing FIX adapter was tightly coupled and rigid, limiting scalability and making updates complex. They required FIXSOL to:
- Modernize their legacy FIX adapter by decoupling protocol logic.
- Enable external configuration of FIX versions and message mappings.
- Support multiple concurrent sessions for parallel data handling.
- Design a scalable and fault-tolerant architecture to ensure zero data loss during trade execution.
- Integrate real-time messaging and report distribution with enhanced security.
- Minimize downtime during upgrades and maintenance cycles.
Project Details
We suggested FIXSOL`s FIX Adapter which is modern, configurable, and scalable solution. With some customization it can be compatible with client existing system . The architecture was redesigned with microservices, Kafka-based messaging, and dynamic message configuration to ensure agility and operational efficiency.
We implemented an architecture composed of three main layers:
Presentation Layer
A web-based dashboard that acts as the user interface, allowing trade order submission as JSON objects via REST APIs and real-time data visualization through WebSockets.
Application Layer
Built with Spring Boot microservices, this layer housed the business logic.
Communication & Data Flow
Real-time communication was established via REST APIs and WebSockets, while Apache Kafka managed inter-service message distribution and scalability.
FIX Adapter Improvements Service
System Modernization and Integration of the FIX Adapter
Technologies & Tools:
- Languages & Frameworks: Java, Spring Boot, JAXB
- Messaging Systems: QuickFIX/J, Apache Kafka, Kafka Streams, JMS
- Security & Integration: SSL Encryption, REST APIs, WebSockets
- Configuration: XML-based external tag mapping for FIX versions
- Scalability & Monitoring: Horizontally scalable microservice architecture with real-time monitoring
Client Location:
United States
Challenges for Building High Performance FIX Adapter
Rigid Legacy System
FIX versions were hardcoded, making upgrades time-consuming and error-prone.
Static Message Construction
Manual rewriting of DTOs and mappers was required for every FIX version update.
Limited Multi-session Support
The system lacked the flexibility to handle multiple concurrent FIX sessions efficiently.
Scalability Issues
Existing infrastructure couldn’t scale horizontally to accommodate growing trade volumes.
Data Integrity Risks
Ensuring reliable trade execution without data loss during scaling or upgrades.
Security Concerns
The client needed a secure, isolated data delivery mechanism for financial reports and trades.
Solutions
FIXSOL’s team redesigned a modern, modular FIX adapter addressing all client pain points:
Decoupled Architecture
Separated FIX protocol logic from business logic to enable independent version updates.
Dynamic Configuration
Supported all FIX versions via external XML tag mapping, eliminating the need for code-level changes.
Session Management
Determined FIX version dynamically through session data using a custom header configuration.
Scalable Messaging Backbone
Integrated Apache Kafka as a distributed message broker for real-time processing, filtering, and secure data routing.
Secure Data Delivery
Leveraged Kafka Streams to filter messages by account ID, ensuring isolated and secure report distribution.
Enhanced Security
Implemented SSL encryption and authentication protocols to secure data transmission.
High Availability
Designed with minimal downtime and safe upgrade mechanisms, ensuring business continuity.
Reporting Integration
Added postback and JMS MQueue systems for flexible report distribution and downstream integration.
High Speed FIX Adapter Results
The FIXSOL FIX Adapter transformation delivered measurable improvements across performance, scalability, multi-session handling, and security:
50% Reduction in Upgrade Time
Dynamic configuration eliminated code rewrites for new FIX versions, enabling faster deployments and reduced downtime.
Multi-Session Efficiency
The new adapter efficiently handled 3x more concurrent FIX sessions, ensuring smooth, parallel trade execution without performance degradation.
High-Speed Message Processing
Kafka-based streaming architecture improved data throughput and response times, enhancing overall trade execution speed.
Real-Time Data Integrity
Distributed message handling via Kafka ensured zero data loss and consistent message delivery during high-volume trading operations.
Enhanced Security & Isolation
SSL encryption, account-specific Kafka topics, and authentication mechanisms safeguarded sensitive trade data, ensuring compliance with financial security standards.
Operational Agility
The modular, microservices-based design enabled faster configuration updates, seamless scaling, and continuous business continuity.
Future-Ready Architecture
The decoupled, configurable system architecture supports easy integration of new FIX versions and trading protocols, ensuring long-term adaptability.