The European trading community must factor the liquidity won by multilateral trading facilities into trading strategies and indices to enable continuous trading during an exchange outage.
European equity trading activity showed signs of stabilising in March, with turnover increasing by 11% from February to just over €1.1 trillion, according to the latest market share report from Thomson Reuters, which includes delayed trades for the first time.
Multilateral trading facilities (MTFs) have captured around a quarter of trading in European stocks and now provide a viable alternative to primary exchanges, according to new research from broker CA Cheuvreux.
Chi-X Europe suffered a fall in Q1 2009 activity compared with the previous quarter, in line with a global slump of equity trading volumes, but the pan-European multilateral trading facility (MTF), also reported strong growth between March and February.
NYSE Euronext, a global exchange group, has targeted Q3 2009 for the completion of a common infrastructure that links all its European trading platforms.
A recent decline in European equity trading volumes has coincided with an onslaught of statistics and performance tables asserting the merits of trading on various venues.
Agency broker and technology provider ITG said its POSIT crossing network can execute trades in equities from the Czech Republic, Hungary and South Africa.
Euro Millennium, the pan-European dark pool for equities trading, has been asked by the UK’s financial regulator to make modifications to its functionality, according to a statement by parent company NYFIX, the US-based trading solutions vendor.
Chi-X, a pan-European multilateral trading facility, will continue to siphon liquidity from incumbent exchanges because of its low transaction costs – up to a tenth of those charged by its competitors – according to a new study from research and advisory firm TowerGroup.