Bats Chi-X Europe, the largest pan-European equities market operator by market share and notional value traded1, today introduced 'Lit Sweep' and 'Dark Sweep', its new interbook order types.
Lit Sweep and Dark Sweep order types are currently available for testing by BATS Chi-X Europe participants. The order types are scheduled to go live on Monday, 12th November.
The new order types are designed to offer trading participants a more efficient way to access liquidity from both BATS Chi-X Europe's lit order books, or both dark order books, via a single order.
Participants submit an order using the Lit Sweep or Dark Sweep order type.Lit Sweep ordersmay beentered into either the BXE or CXElit order books. Thebest price across both order booksis then assessedand the orderisexecuted on theorderbook with the best price. The order will continue to search bothorder books until either the order is filled, its limit price is reached, or it is cancelled. Dark Sweep orders are first sent to the selected dark orderbook before moving on to the other darkorderbook for any part of the order still requiring execution.
"We are constantly seeking new ways to help our trading participants improve their likelihood and quality of execution. Introducing these new order types offers a seamless approach to access the best available price across the order books and to help trading firms fulfill their best execution requirements," said Mark Hemsley, CEO of BATS Chi-X Europe.
Hemsley continued, "Our philosophy is to continue to innovate and introduce new products and services that enable customers to take advantage of available price improvement opportunities, with minimum effort on their part. These new order types represent a very effective way for trading participants to access liquidity whilst maximising order execution efficiency."
All orders are cleared and settled under the trading participants' existing post-trade arrangements.