UBS MTF is a non-displayed multilateral trading facility, regulated by both the UK Financial Conduct Authority and Prudential Regulatory Authority, featuring a Central Counterparty (CCP) model, with objective membership access.
The pool typically trades around 1.5% of European turnover and has a range of participant types attracted by the low cost, interoperable CCP and significant liquidity.
Functionality and order types
UBS MTF allows members to match orders at mid as
well as the bid and offer of the primary exchange using an objective order
prioritisation policy. In addition, UBS MTF does not charge a membership fee
and all executions on UBS MTF are universally charged at a trading fee of
It offers only day, or immediate or cancel orders pegged
to the bid, mid or offer of the primary market are supported, although members
may also use a minimum acceptable quantity or a limit price on orders.
Access and participation
UBS MTF is open
to all firms that meet the membership criteria set out in the UBS MTF Rulebook,
which is published on the UBS MTF website. Members can send orders to UBS MTF
using FIX 4.2.
The pool trades almost 3,500 Cash Equities and International Depositary
Receipts from 17 markets: Austria, Belgium, Czech Republic, Denmark, Finland,
France, Germany, Hungary, Ireland, Italy, the Netherlands, Norway, Portugal,
Spain, Sweden, Switzerland, the United Kingdom.
UBS MTF has independent supervisors who carry out
real- time monitoring and surveillance, to ensure a fair and orderly market.
Members can also make use of optional functionality to control their
interaction with other orders on UBS MTF.
UBS MTF is constantly working on improvements for
members. It recently added Spain and is planning the addition of European
multilateral clearing facility (EMCF) as an interoperable CCP early in 2014.