20 October 2017
visit www.atos.net

Nasdaq OMX harmonises tick sizes

23 October 2009  |  2267 views  |  0 Source: Nasdaq OMX

NASDAQ OMX Nordic, part of the NASDAQ OMX Group, Inc, today announces the timetable for implementing European harmonized tick sizes for the most liquid shares on its exchanges in Stockholm, Helsinki and Copenhagen. The new tick size regime for the constituents of the main Nordic tradable indices will be implemented on NASDAQ OMX Stockholm on October 26, followed by the Helsinki and Copenhagen equity markets on January 4, 2010.

The harmonization of tick sizes (the smallest possible change in share price) aims at minimizing implicit transaction costs when trading with Nordic equities and increasing liquidity on the Nordic markets. As a result of the tick size harmonization, the tick sizes of OMXS30, OMXH25 and OMXC20 equities will decrease by 47% on average, which will result in significant cost savings for investors. In addition, tick size harmonization lowers the barrier for cross border trading.

"The introduction of a new, harmonized tick size regime for our Nordic most liquid shares is part of our continuous effort to support the liquidity and efficiency of our Nordic markets. The harmonization of tick sizes across borders and marketplaces will benefit all market participants as well as investors", said Hans-Ole Jochumsen, President of NASDAQ OMX Nordic.

One of the visible changes for the most liquid Nordic shares resulting from the harmonization is the introduction of a third decimal for share prices below 10 EUR/SEK/DKK and a fourth decimal for share prices lower than 1 EUR/SEK/DKK. For these shares, investors can enter orders with finer granularity, up to the maximum amount of decimals allowed by the new tick size regime. Trade prices will be rounded to the nearest currency unit with two decimals.

NASDAQ OMX Nordic implements new tick size tables in accordance with the agreement reached by the Federation of European Exchanges, the London Investment Banking Association and a number of European MTFs in July 2009. The aim of the agreement is to harmonise the tick size regimes in Europe and thus deliver multiple benefits to the markets, users and investors by simplifying the complexity and number of regimes being used.

Comments: (0)

Comment on this story (membership required)

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.niceactimize.comRegister nowvisit www.atos.net

Top topics

Most viewed Most shared
satelliteGates Foundation backs Ripple collaboratio...
8404 views comments | 13 tweets | 10 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
8218 views comments | 21 tweets | 26 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
7376 views comments | 9 tweets | 17 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
6759 views comments | 10 tweets | 21 linkedin
Eight banks form joint venture to launch blockchain trade platformEight banks form joint venture to launch b...
6416 views comments | 14 tweets | 23 linkedin

Featured job

Competitive base + commission + benefits
New York City, NY - USA

Find your next job