CitiMatch offers low toxicity liquidity to the firm’s institutional and hedge fund clients. It has several hundred active clients and the majority of their orders (but not all) will interact with the dark pool in some way over the lifecycle of the order. CitiMatch offers price improvement versus the midpoint for clients that rest their orders in the pool.
Functionality and order types
The pool features a series of safeguards and
restrictions to ensure that information leakage is minimised. Clients benefit
from three price points in the pool – bid/mid/ask allowing them the choice to
get paid the spread as a provider of liquidity to the market.
It offers day orders with/without price limit, pegged to
mid-price, passive or aggressive of the consolidated order book.
Access and participation
Citi screens participants to ensure that they are providing quality
liquidity to the pool and segments clients according to liquidity and toxicity.
The pool offers trading in listed equities in
Japan, Hong Kong and Australia.
Citi has a set of anti-gaming controls as well as
restrictions around the type of counterparty that is allowed to interact in the
In Australia, CitiMatch accesses exchange dark
pools ASX Centre Point and Chi-X dark mids.
The firm has an ongoing programme of development going into 2014 that will deliver more choice and liquidity to clients.