NYSE Liffe plans exchange-level order limits

NYSE Euronext has laid out its plans for technology changes to venues, including new pre-trade risk filters for brokers on its derivatives market.

NYSE Euronext has laid out its plans for technology changes to venues, including new pre-trade risk filters for brokers on its derivatives market.

The filters can be applied to all orders submitted to the Liffe derivatives exchange, augmenting a broker’s ability to set similar safeguards internally to prevent orders behaving unexpectedly.

NYSE Liffe will also press ahead with migrating all derivatives products to the Universal Trading Platform (UTP) matching engines. The UTP will eventually house all of NYSE Euronext’s trading platforms, so brokers will only need one connection to access all of the firm’s products and services.

The current go-live date to migrate Liffe’s most popular products to the UTP, namely the short Sterling futures and options is February 2013 and all remaining short-term interest rate futures and options will migrate to the UTP in February or March.

For equities, NYSE Euronext plans to prioritise performance and capacity, with enhancements for inter-application routing elements due in the first half of this year. High-capacity market data will also be implemented in early June for the firm’s cash markets.

In December, US futures bourse IntercontinentalExchange (ICE) made a US$8.2 billion bid for NYSE Euronext. The takeover would position ICE as one of the largest global exchange operators, and in particular the acquisition of NYSE Liffe would elevate ICE to a leading derivatives venue.

Under the deal, NYSE Euronext’s European equities business will likely be spun-off and it remains unclear what will happen to the UTP as ICE takes the reins.

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