Nasdaq MTF sets dark routing date, unveils order types

Nasdaq OMX Europe, the pan-European multilateral trading facility (MTF) owned by exchange group Nasdaq OMX, will start routing to non-displayed liquidity venues, including its own NEURO Dark platform, from 10 August.
By None

Nasdaq OMX Europe, the pan-European multilateral trading facility (MTF) owned by exchange group Nasdaq OMX, will start routing to non-displayed liquidity venues, including its own NEURO Dark platform, from 10 August.

The MTF will also introduce three new dark-routing strategies: DNGY, DCAN and DIVE. DNGY, which accesses both dark and lit markets, will continue to seek out the best price in the market. Any shares not filled will be posted on the Nasdaq OMX Europe book. DCAN, which also hits both lit and dark venues, scans the market once upon order entry, routes to marketable destinations and then posts to the MTF’s book. DIVE, a dark-only strategy, first attempts to execute on NEURO Dark before routing to external dark pools. Any unfilled portion of the order will then be reposted on NEURO Dark and will not route out again.

All trades executed on external destinations will clear and settle through pan-European clearing house EMCF. Routed trades can net with trades done on both Nasdaq OMX Europe and NEURO Dark.

Nasdaq OMX Europe will charge an all-inclusive fee of 0.20 basis points for orders executed in NEURO Dark or external non-displayed venues. Participants pay no further external transaction or clearing costs.

Nasdaq OMX Europe already routes orders to 14 primary exchanges as well as fellow MTFs Chi-X Europe, Turquoise and BATS Europe. Market participants can select which venues to route to by using a range of the MTF’s order types.

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