Cboe Europe gains approval for Dutch trading venue

Cboe will operate an MTF and APA from Amsterdam as the UK’s departure from the European Union grows closer.

Cboe Europe has received approval from authorities in the Netherlands to operate a trading venue in Amsterdam in preparation for Brexit.

The approval means that Cboe is now permitted to run a multilateral trading facility (MTF) and approved publication arrangement (APA), which will be regulated by the Dutch Authority or the Financial Markets (AFM).  

“We are pleased to have received regulatory approval for our new Netherlands-based venue. We are committed to providing pan-European services to our customers and this authorisation helps ensure we are well-positioned to continue to service our customers across Europe post-Brexit,” said Mark Hemsley, president of Cboe Europe.

The exchange operator added that it will continue to operate its recognised investment exchange (RIE) in the UK and will offer the same services at its trading venues in the UK and Amsterdam. All EEA-listed symbols will be traded on the Amsterdam, while Swiss and UK-listed symbols will trade on the UK venue.

As part of establishing the new European venue, Cboe has appointed Adam Eades, currently chief legal and regulatory officer at Cboe Europe, to oversee the operations in Amsterdam once it launches on 1 April.

“I’m delighted to lead Cboe Europe B.V. and work closely with the London team to ensure a seamless launch of the new venue,” Eades commented. “We’ve been working closely with our customers over the past two years and have made the necessary preparations to ensure we are ready for any potential Brexit scenarios.”

Several major trading venue operators, such as Bloomberg, Tradeweb and MarketAxess have opted to establish alternative European venues in Amsterdam as the UK prepares to leave the European Union. The new venues will ensure that firms can continue to service clients and provide liquidity in the UK and Europe post-Brexit.