Dark Pools & Liquidity
Liquidnet, a company long known for its equity market dark pool, announced that it has officially launched a bond market dark pool to enable asset managers to trade corporate bonds with each other in the US, Canada and Europe. The company said 120 asset managers are enrolled in the platform, representing two-thirds of the top 50 holders of US corporate bond assets under management.
As of October first, ConvergEx will have one dark pool instead of two. The company is reportedly planning to close its Vortex dark pool, keeping only its Millennium dark trading venue open, according...
Luminex Trading & Analytics, the block trading venue backed by a consortium of large asset managers has announced its management team in preparation for its planned fourth quarter launch.
When BATS Global Market's FX business Hotspot opens its new London matching engine next month it plans to offer potential customers a strong incentive to try it out: free FX trading until the end of the year.
Investment Technology Group (ITG) ousted its chief executive of nine years this week, less than a week after announcing that was setting aside $20.3 million for a potential settlement with the Securities and Exchange Commission over past issues related to the operation of its POSIT dark pool.
Three months after its official launch, corporate bond trading platform Bondcube has filed for liquidation, the Financial Times reported. The startup, founded in 2012, was 30 percent owned by the Deutsche Borse.
In parallel announcements, Hotspot, the foreign exchange market owned by BATS Global Markets, and FXall, owned by Thomson Reuters, revealed that they will limit the FX process known as Last Look, which allows FX liquidity providers a certain amount of time to reject a trade, even after it has been hit.
Agency brokerage ITG is partnering with newly launched bond trading platform Bondcube to serve as an intermediary for buy side to buy side trades in the U.S. ITG, originally known as an operator of equity dark pools, just entered the bond trading space itself late last year with the introduction of Posit FI, the fixed-income version of its Posit equities platform.
The maker-taker model for exchange fees has long earned critics who say the model rewards high-frequency traders. In Canada those critics have scored a victory as TMX Group, the owner of the Toronto Stock Exchange, has announced plans for phased modifications to the model beginning June 1.
The Securities and Exchange Commission gave its approval late Tuesday for a long-anticipated pilot program to test whether trading stocks of small cap companies in wider increments would improve the markets for these stocks. The pilot program will start next May.