Nagle's Algorithm Latency Impact - Quant Trader Interview Question
Difficulty: Medium
Category: Networking & Systems
Practice quant interview questions from top firms including Jane Street, Citadel, Two Sigma, DE Shaw, and other leading quantitative finance companies.
Topics: networking, systems, latency, tcp, nagle's algorithm, high-frequency trading
Problem Description
A high-frequency trading system interacts with an exchange via TCP. Nagle's algorithm is enabled by default on most systems. Why must trading systems disable Nagle's algorithm by setting the TCP_NODELAY flag?
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