Alternate venue Chi-X Canada has seen its market share grow to record proportions as the uptake of alternative trading systems (ATSs) increases.
In May the ATS enjoyed a 10.35% share of the Toronto market in terms of volume and 11.64% of total value traded – the second consecutive month in which Chi-X Canada achieved a market share record.
Chi-X Canada has garnered strong market share growth since January, when it represented 8.37% of volume and 10.61% total value. By April it had hit 10.01% volume and 11.9% value.
“Chi-X Canada continues to drive competition and improve trading efficiencies through the introduction of innovative solutions and unique pricing,” said Dan Kessous, CEO, Chi-X Canada. “In response, our participants have pushed our market share to firm-record levels, such as on 30 May when we traded 12.6% of the overall market volume of Toronto Stock Exchange-listed securities.”
Total turnover in Canada last month was US$149.41 billion. According to Thomson Reuters, Alpha Trading was the largest ATS in Canada, trading 16.47% of turnover in the market. Thomson Reuters recorded Chi-X Canada’s market share as 12.64% of total turnover.
“Over the coming months, Canada’s equity landscape could change dramatically, making the need for healthy competition even more acute,” added Kessous. “Chi-X Canada will continue to advocate for positive market structure change, which we believe provides unquestionable benefits to all market participants.”
Toronto Stock Exchange owner TMX Group is currently the subject of a takeover proposal by a group of 13 Canadian financial institutions operating under the name Maple Group. The intention of the Maple Group is to create a unified trading and clearing platform together with Canadian clearer CDS and alternative trading system Alpha Group. However, regulators are still currently considering Maple’s acquisition of TMX, with a decision expected imminently.