Neonet, the independent agency broker and execution specialist, today announced that it will provide access to BATS Periodic Auctions Book from its go-live date today.
“In our mission to bring high quality, independent and transparent execution services to our clients we are keen to support new initiatives that have potential to improve the marketplace,” said Tim Wildenberg, Chief Executive Officer of Neonet. “BATS Periodic Auctions Book highlights the current trend of innovative initiatives to cater for a broader range of execution needs for professional investors trading larger orders. As an agency execution broker we have a dedicated focus on best execution both today and in light of upcoming MiFIDII regulation. Our recognised Smart Order Router, execution algorithm suite and TCA metrics, combined with a broad liquidity access, are the cornerstones of a successful best execution offering.”
“We are pleased to see Neonet as one of the early adopters of our new Periodic Auctions Book,” said David Howson, Chief Operating Officer at BATS Chi-X Europe. “The goal is to attract larger sized orders, on a latency-agnostic basis, at or within the BATS European Best Bid and Offer (EBBO) price range. Auctions will take place in each stock throughout the day, without impacting continuous trading in other BATS order books (known as ‘CXE’ and ‘BXE’) or across the broader European market.”
BATS Periodic Auctions Book is available for all securities and markets traded on BATS’ lit books. Executions will only occur at or within the BATS EBBO collar to ensure orderly markets and provide certainty around the execution price range. There will be a standard auction price calculation with a price / size / time priority allocation of executions to encourage larger order sizes. Auctions occur over a set duration, plus a random end with timings based on activity levels in each security. Only the indicative uncrossing price and executable volume will published up until the auction match.