Chi-X Australia has received approval from regulator the Australian Securities and Investments Commission to launch on 31 October, marking a new era of exchange competition in the country.
The latest draft of the European Commission’s revisions to the Markets in Financial Instruments Directive may leave some European investment institutions with diminished access to off-exchange sources of liquidity by formalising discretionary access to broker crossing networks.
US-based exchange Direct Edge faces sanctions by regulator the Securities and Exchange Commission for violations of US securities laws arising from weak internal controls that resulted in millions of dollars in trading losses and a systems outage.
Canadian consortium the Maple Group Acquisition Corporation has surprised many market participants by continuing to pursue its takeover bid for exchange group TMX, following the collapse of the London Stock Exchange Group’s rival bid earlier this year.
Chi-X Australia has signalled its intent to offer stiff competition to the Australian Securities Exchange this week by undercutting the incumbent’s trading fees, but Tony Mackay, former CEO of Chi-X Global, predicts a long, hard battle for market share.
Asian trading volumes have crashed to their lowest levels so far this year, led by China and Japan, the region’s largest markets, according to figures from Thomson Reuters.
The Federation of European Securities Exchanges, a trade body for exchange operators, has launched a strategic review that opens to door to greater cooperation with multilateral trading facilities.
Changes to the regulation of broker crossing networks could curb some common trading practices, but further clarity is required to fully assess their impact on institutional investors, said Caleb Wright, head of EMEA equities strategy and market structure at Bank of America Merrill Lynch, in a webinar hosted by theTRADEnews.com.
The final draft of the European Commissionâ€™s proposed revisions to MiFID will impose new restrictions on high-frequency trading, confirm a ban organised trading facilities from crossing against prop trading flow, and define new rules for access criteria between central counterparties and trading venues.
Trading technology and execution management systems provider TradingScreen is to provide a combined picture of stock liquidity of local equities jointly listed on the Australian Securities Exchange and new venue Chi-X Australia when it launches, on 31 October 2011.