Direct Edge, the US electronic communications network, has introduced two new order types that will allow its members to customise their access to dark liquidity.
The order types, ROUD and ROUE, sweep Direct Edge’s twin execution platforms, EDGX and EDGA, before attempting to execute against members of its Enhanced Liquidity Provider (ELP) programme that accept IOCs. The ROUE order type will route an order on to the displayed market if it does not get completely filled.
Direct Edge’s ELP programme offers its subscribers integrated access to multiple sources of displayed and dark liquidity. It currently has 20 members and executes an average of 120 million shares per day.
ROUD and ROUE orders executed by an ELP member will cost $0.002 per share. If ROUE orders are sent to displayed markets, regular routed rates still apply. Rollout of the new order types will start from 7 November.