Canadian exchange group TMX has released details of its planned alternative trading system (ATS), TMX Select, which is designed to attract high-frequency traders.
Due to launch on 15 June 2011, the new platform will be a wholly-owned subsidiary of TMX Group, offering a visible marketplace for trading equities. It will have a simplified market structure with continuous trading of board lots only, no special terms such as rebates, a strict price-time priority for all orders and expanded trading hours, from 08.00 to 17.00. The venue will also operate without market makers.
Gary Knight, vice president, trading and CEO of TMX Select, said that the new ATS will be ready for client testing early in Q2 2011. “This is going to appeal to those that want speed – they are seeking low price, high speed execution,” he told theTRADEnews.com.
The firm has added updated order entry and market data specification documents for clients through the TMX Select website. The fee schedule and more information about functionality are expected to be announced prior to the launch, which remains subject to regulatory approval.
TMX is currently working on a planned merger with the London Stock Exchange Group, which also owns Italian exchange Borsa Italiana. Under the deal, TMX shareholders will own 45% of the enlarged share capital of LSEG, the holding company of the merged group, which will be renamed once the deal is complete. The combined firm would be valued at around £4.3 billion (€5.03 billion).