Alternative trading system (ATS) Chi-X Canada ATS, a wholly-owned subsidiary of trading venue operator Chi-X Global, reports that it has accounted for 4% of total market volume for securities listed on SME-focused primary exchange TSX Venture (TSX-V), owned by Canadian exchange group TMX.
In its first full week of trading Venture names, from 6 – 10 June, Chi-X Canada accounted for 4.43% of total market value and 9.14% of all TSX-V trades. The ATS also became the first market centre in Canada to rebate liquidity takers on TSX Venture listed securities valued at under C$1.00 (US$1.01).
Chi-X Canada is currently seeking to steal market share away from TMX Group, which still accounted for around 65.2% of daily equities market share in Canada as of 15 June 2011, compared to the ATS's 13.1%, according to data provided by Thomson Reuters' Equity Market Share Reporter.
“Chi-X Canada's volumes demonstrate that participants are looking for ways to reduce trading costs, and will go to the market with the most competitive fees,” said Dan Kessous, Chi-X Canada CEO.
Parent company Chi-X Global plans to launch a market in Australia later this year, and is expecting investment from five sell-side firms who will acquire stakes from parent company Nomura this summer. TMX is currently waiting for regulatory approval of a merger with the London Stock Exchange Group.