Nissan Century Securities Co., Ltd. Nissan Century Securities, founded in 1948, is a well-established brokerage firm with more than 150 billion yen in capital stock. Nissan Century Securities is uniquely positioned as the only Japanese

brokerage firm that covers major futures trading of commodities, securities, and financial instruments at Japanese exchanges including TOCOM, TSE, OSE, and TGE. With the monthly futures trading

volume exceeding two million contracts in May 2012, Nissan Century Securities is a pioneering

derivative broker with 10-20% market share in both securities and commodity trading, including Nikkei 225 futures at OSE and gold futures trading at TOCOM.

Nissan Century Securities' Business Challenge Nissan Century Securities started focusing on HFT (High Frequency Trading: high frequency, low latency trading for the execution of large volume orders using various software programs) in 2011

and now receives orders from over ten countries across the world. With this success, its derivative trading volume has increased ten-fold, generating a need for a faster and more stable infrastructure

to allow buy side customers, including foreign hedge funds and proprietary trading firms, to make

orders quicker and in more favorable conditions.

Reason for Selecting KVH Services Nissan Century Securities had three main reasons for selecting KVH. Firstly, as KVH is a certified

network provider for major Japanese exchanges, it demonstrated high security proven through its experience in serving the financial industry.

Secondly, KVH has a long history of providing and operating reliable IT infrastructure and professional services to financial institutions, including low latency networks for HFT and robust data centers.

Thirdly, while Nissan Century Securities also provides 24-hour support in English, there are few IT

infrastructure providers that can provide similar support and services with sufficient knowledge and experience in the financial industry. Thus, since KVH is globalized at all levels within the organization,

it was chosen for its complete bilingual services and local IT support from its overseas offices in

Chicago, Singapore, Hong Kong and more.

When selecting its service provider, Nissan Century Securities made an overall judgment based on

how the provider aligned with its business strengths, field of focus, position in the Japanese financial market, and expected resources needed according to its 5-year and 10-year business forecasts. As a

result, Nissan Century Securities selected KVH as its strategic partner to realize and support its

growth strategy over the next ten years.

Results and Future Plans for Nissan Century Securities Nissan Century Securities has been able to drastically reduce their cost per transaction for HFT

clients and other traders, as their volume of derivative trading has significantly increased. This forms a productive cycle where the trading volume of investors continually increases, leading to more

demand for additional investment in KVH infrastructure. While most of their HFT clients are currently global institutional investors, they plan to expand their HFT service offering among domestic investors.

Company Name

Nissan Century Securities Co., Ltd.

Industry

Securities

HFT (High Frequency Trading) System Solution Case Study

Nissan Century Securities Serves the Global HFT Market with KVH Proximity Solutions

Area of Business

Financial instruments trading and business

related to financial instruments traders,

commodity futures trading and business

related to commodity futures traders, and market data, news, and data analysis

delivery for financial institutions.

Summary

As a solution for HFT Systems, KVH

provides Tokyo Data Center 1 (TDC1)

space to enable connectivity to an ecosystem of major exchanges and buy

side systems, as well as its proximity

service and low latency network that

extends across Japan and overseas for

smooth management of Nissan Century

Securities’ volume of derivative orders, which have increased more than ten-fold

since the launch of its HFT trading service.

“For a brokerage house, the data center itself is the strategy. After assessing several service providers and how they aligned with our business strengths, field of focus, position in the Japanese financial market and the resources we expect to need over the next five years, we selected KVH as our strategic partner to realize our growth strategy.”

- Mr. Tomoaski Hirao Corporate Officer and Division Head for Legal Team 2 and Derivative Product Planning

HFT (High Frequency Trading) System Solution Case Study Nissan Century Securities Serves the Global HFT Market with KVH Proximity Solutions

KVH Solution

KVH Proximity Solution enables Nissan Century Securities to connect to the international trading community via KVH’s global low latency network. KVH Proximity Solution, consisting of colocation

services at TDC 1, network services, and IT management services, is provided as a total package

solution.

• Colocation Service（KVH TDC1）

KVH TDC1 provides an optimal colocation space for access at the maximum liquidity and lowest

latency. KVH is a certified network provider of TSE Arrownet, and KVH TDC1 is a recommended proximity hosting service of Tokyo Stock Exchange (TSE), Tokyo Financial Exchange (TFX), Osaka

Securities Exchange, and Tokyo Commodity Exchange. KVH TDC1 offers a full financial ecosystem of various financial systems within the data center. By connecting Nissan Century

Securities, buy-side institutions and other market participants with the latest latency network,

end-to-end low latency access is realized throughout the entire ecosystem.

• KVH Ether-MAN Plus

KVH Ether-MAN Plus is an Ethernet service provided using KVH’s optical fiber network. This is

a point-to-multipoint network service with the reliability of a dedicated circuit and the flexibility

and economic efficiency of an Ethernet service.

• KVH Global Ether-WAN (International Network Service)

KVH Global Ether-WAN, a globally renowned ultra low latency network, spans across multiple KVH international POPs (Points of Presence), including Chicago, Hong Kong, Singapore, Sydney, and

Busan.

• Managed Services

KVH Managed Services enables businesses to outsource time-consuming and labor-intensive operations and management of network equipment, such as firewalls, load balancers, L2 and L3

switches, to KVH’s experienced engineers.

Customer Needs • Secure and highly reliable low latency

network that is designed for hedge

funds and proprietary trading firms, and offers competitive speeds at the

micro second level.

• Industry expertise supported by a

thorough understanding of the needs

of financial institutions and brokerage

houses.

• Reliable Japanese-English bilingual

support and local support across Asia

and overseas.

Nissan Century Securities Co., Ltd.

Company Address

1-38-11, Nihonbashi Kakigara-cho,

Chuo-ku, Tokyo 103-0014

Foundation

1948

Business

As a part of the Unicom Group, Nissan

Century Securities offers a wide range of

brokerage and financial services to

Japanese markets including securities,

bonds, commodities, and derivatives. Nissan Century Securities is a member of

Tokyo Stock Exchange, Osaka Securities

Exchange, Tokyo Commodity Exchange,

and Tokyo Grain Exchange.

Website

www.nc-sec.co.jp

KVH Co., Ltd. Tamachi Ekimae Building, 3-1-35 Shibaura, Minato-Ku, Tokyo 108-0023

sales@kvh.co.jp 03-4560-7100

www.kvh.co.jp/en

* All brand names and product names are trademarks or registered trademarks of their respective companies.