Trading in dark pools and periodic auctions lowers execution costs, FCA paper concludes
Analysis from the UK’s regulator has said that dark trading, which the EU has restricted under MiFID II rules, can reduce costs for investors.
Tag: Dark trading
ETFs have highest percentage of turnover traded in the dark, ESMA report finds
An analysis from the EU regulator revealed that the LIS waiver was most commonly used, with ETFs accounting for around 64% of the turnover executed under the waiver.
Rosenblatt survey highlights buy-side disconnect with changes to MiFID II
ESMA has made several recommendations in its report on the MiFID II review, but a poll from Rosenblatt Securities suggests the buy-side is not quite on the same page as the regulator.
Buy-Side
Buy-side rejects changes to dark trading and SIs under MiFID II review
Initial responses to the MiFID II review consultation reveal that asset managers are keen for a consolidated tape before any major changes to the rules are implemented.
Continuous lit trading sees boost as traders seek certainty of execution
As traders navigate market volatility, study from Liquidnet finds that continuous lit volumes have jumped in March as percentage traded in auctions declines.
European watchdog eyes major changes to dark trading rules under MiFID II
ESMA is considering removing certain transparency waivers which would make the DVCs redundant, or lowering the threshold market-wide to further restrict dark trading in Europe.
Equities
Dark trading volumes reach highest level under MiFID II
An analysis from TABB Group has found dark trading volumes are the highest since MiFID II was introduced, despite summer slowdown.
Regulation
Dark pool trading volumes surge to pre-MiFID II levels
Analysis by TABB Group finds that dark pools volumes reached the largest share of on-exchange in April since before MiFID II was implemented.
ESMA suspends 932 stocks from June for MiFID II DVC breaches
Latest data on DVC breaches under MiFID II finds more than 900 stocks are suspended from trading as of 7 June.
Traders not convinced of shift to lit markets under MiFID II
Only 26% of traders believe dark liquidity will shift towards lit venues under MiFID II regime in Europe.