Nasdaq OMX has said that its decision to use the European Multilateral Clearing Facility (EMCF) for its pan-European platform was steered by Chi-X’s decision to use the same service.
Speaking to theTRADEnews.com, Chris Concannon, executive vice president of transaction services at Nasdaq OMX explained: “The fact that EMCF is already in production with Chi-X was a significant factor in our decision. Similarly, we also considered Euro CCP because of their agreement with Turquoise”
Nasdaq OMX announced on Monday, that it is to use Fortis’ EMCF to clear all trades for its platform, due to launch in September.
Concannon stated that the choice of clearing and settlement services was the most important part of their approach, more so than exchange and trading services, which he described as only 20% of their overall strategy.
In addition, Concannon said the aggressive and competitive pricing offered on EMCF was critical in their choice, as was the simplicity of start up and ease with which trades on both Chi-X and Nasdaq OMX could be cleared and netted together.