Nordic multilateral trading facility (MTF) Burgundy is to go live with interoperable clearing via pan-European clearing house EuroCCP on 28 June.
The MTF, which offers trading in 1,200 securities in Denmark, Finland, Norway and Sweden, had already begun client testing with EuroCCP earlier this month.
“Interoperability is an important strategic milestone for our clients as we are the first Nordic exchange that offers choice in the increasingly important clearing landscape,” said Olof Neiglick, CEO at Burgundy earlier this month. “Deregulation and competition are the main drivers behind service improvements and price cuts in any market – this is also the case for Nordic securities trading as the industry matures.”
The introduction of clearing choice is intended to help members of trading venues save capital and reduce their clearing costs by consolidating and netting their flow to their preferred clearing house.
Burgundy follows fellow MTFs Turquoise, BATS Chi-X Europe, and UBS MTF in offering members a choice of clearers. However, primary exchange Nasdaq OMX Nordic, which runs domestic exchanges in Denmark, Sweden and Finland, delayed its interoperability offering scheduled for April, citing regulatory uncertainty.