Financial Extranet What is a Financial Extranet? A financial extranet is a private network that connects financial institutions, trading firms, and exchanges, enabling secure and reliable data exchange and communication. Explanation These networks facilitate the sharing of market data, order routing, and transaction information between connected parties. They are designed to meet the specific requirements of the financial industry, such as low latency and high security. Practical Example of a Financial Extranet A brokerage firm uses a financial extranet to receive live market data from multiple stock exchanges, ensuring timely and accurate trading decisions.