17 August 2017
visit www.avoka.com

Canadian dealers to set up alternative trading platform

03 May 2007  |  6075 views  |  0 keyboard

Seven of the biggest investment dealers in Canada are teaming up to establish an alternative trading system (ATS) in a bid to increase equity trading efficiencies and make the country more globally competitive.

The new platform - called Alpha - is being set up by BMO Capital Markets, Canaccord Capital, CIBC World Markets, National Bank Financial, RBC Capital Markets, Scotia Capital and TD Securities but will be open to all dealer institutions that want to join as participating organisations. The firms are understood to have contracted with Capco to design the new platform.

The new ATS will feature a continuous electronic order platform where trading will occur on a price-time priority basis. The system will also ensure trades are made on the best market available, and will take into account current exchanges in operation and other alternative systems being launched in Canada.

Jos Schmitt, CEO of the ATS initiative, says: "Our trading system will provide a seamless integration of trading venues so that investors in Canadian equities can enjoy the benefits of trading on a best execution basis in a multiple marketplace environment."

Schmitt says the future strength of Canadian capital markets depends on the ability to achieve the same kind of efficiencies already being realised around the world by using new technology.

The ATS is expected to launch in 2008, subject to regulatory approval.

The new platform is being introduced under rules established by Canadian securities regulators that set out requirements for order and trade reporting, information consolidation and market integration to ensure fair and transparent trading.

Earlier this year, Interagency broker Instinet launched an alternative trading system in Canada. The platform, called Instinet Canada Cross (ICX), operates as a continuous, electronic auction market for the trading of Canadian exchange-listed securities.

Instinet said last year that its new ICX platform would "provide a much-needed alternative in the Canadian equity marketplace".

News of the Alpha ATS hit shares in the Toronto Stock Exchange. The TSX stock price recovered from an early morning low of C$40 to trade 8.6% down from the overnight close at C$43.35 a share by mid-morning.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

TSX and ISE to launch Canadian derivatives exchange

TSX and ISE to launch Canadian derivatives exchange

05 March 2007  |  4327 views  |  0 comments
Liquidnet extends e-trading platform to Canadian equities

Liquidnet extends e-trading platform to Canadian equities

14 July 2006  |  6219 views  |  0 comments

Related company news


Related blogs

Create a blog about this story (membership required)
download the paper nowvisit www.dorsum.euvisit www.worldpaymentsreport.com

Who is commenting?

Top topics

Most viewed Most shared
China preps central clearing house for mobile payments providersChina preps central clearing house for mob...
10016 views comments | 8 tweets | 16 linkedin
DBS Bank launches online car selling marketplaceDBS Bank launches online car selling marke...
10010 views comments | 13 tweets | 11 linkedin
Monzo appoints Curve co-founder Foster-Carter COOMonzo appoints Curve co-founder Foster-Car...
8335 views comments | 1 tweets | 3 linkedin
hands typing furiouslyCompliance: Overcome the data deficit
7782 views 0 | 1 tweets | 9 linkedin
PayPal buys Swift Financial to boost working capital bizPayPal buys Swift Financial to boost worki...
7724 views comments | 13 tweets | 7 linkedin

Featured job

Find your next job