Exploiting Parallelization to Increase the Performance of Payment Systems Simulations

Abstract

The large amount of data and the need to perform large numbers of simulations of payment systems are a challenge and a starting point for this paper. Parallel and distributed simulation systems are widely used in many applications such as in military applications and entertainment. Parallel computing has been applied in other econometric areas such as VAR models but not in payment system simulations. In this empirical paper, a reduction in total execution times of payment system simulations is studied by exploiting computational parallelization in a one multicore PC environment. The preliminary results of parallel simulations are reported and the possible benefits of analyzing financial market infrastructures using this technique are discussed. This information can be very useful for choosing a parallelization strategy and designing the next generation platforms for parallel processing of payment and securities settlement system simulations. This is the first time parallel computing techniques have been applied to payment system simulations.