Instinet and Credit Suisse ink Japanese dark liquidity pact
22 May 2007 | 5287 views | 0
Interagency broker Instinet and investment bank Credit Suisse have signed an agreement to provide their respective clients with access to each other's 'dark' pools of liquidity in Japan.
Under the agreement Credit Suisse will link its CrossFinder platform to Instinet's Continuous Block Cross (CBX) platform for Japanese Securities.
Instinet says the reciprocal deal deepens the pools of institutional liquidity available to each firm's client base and increases clients' opportunities to execute larger trades with minimal market impact.
Olivier Thiriet, Credit Suisse's MD and head of advanced execution services for Asia Pacific, says the combination "will provide our clients with access to one of the largest dark liquidity pools for Japanese securities".
Thiriet says he is confident that increased competition between exchanges, proprietary trading system (PTS) brokers and other venues will deliver improved execution performance and ultimately, returns to clients.
Instinet and Credit Suisse announced a similar reciprocal agreement last year that saw them link their dark liquidity pools in the US.
In April Credit Suisse said it would also route order flow to Instinet's MiFID-compliant equity alternative trading system (ATS) Chi-X.