System and method for sub-second data replication. The present invention provides the ability to replicate database transactions made on one computer to one or more local or remote computers instantly, utilizing the database management system's transaction log for the replication. The present invention intercepts transactions being sent to a database's transaction log and interprets and copies the transactions to one or more replica servers, as well as to the original existing database transaction log. This enables real-time reporting without taxing the transaction system, real-time backup and immediate disaster recovery, by offloading said activities from the transaction server to a replica server that synchronized with the transaction server in real-time. The system comprises a central server and a set of source and destination agents that can reside all in a local system, or can be remotely connected such as through a TCP/IP networks The central server controls a series of loadable modules to perform specific functions in the system, and an agent that runs on every machine in the system that has a relational database management system running. The agent is either a source agent, gathering data from a source database server, or a destination (or target) agent, applying the data to the destination database, or both a source and destination agent.