US securities exchange BATS has released a new smart routing strategy, DART (Dark Anonymous Routing Technique), and amended its default order routing path to incorporate the new offering.
Members’ orders will now route to participating dark liquidity partners (DLPs) through DART after hitting the BATS book and before being routed to protected markets via the CYCLE order routing strategy, which BATS implemented in May.
CYCLE targets one exchange at a time, sending any remaining unfilled quantity to the next centre in the chain.
The new DART strategy charges members $0.0020 per DART share filled at DLPs, down from the CYCLE fee of $0.0029.
“As with other routing solutions and order types, the implementation of DART is driven by customer demand,” said Chris Isaacson, BATS chief operating officer, in a statement. “Routing to dark venues as a first step in our standard routing strategy, where price improvement and lower access fees can be passed along to our members, is a significant advantage for BATS customers.”
DART is separate from BATS’ Dark Scan order type, which routes to publicly-disclosed DLPs before accessing the BATS book.