TSX Group Inc. says it has received regulatory approval for its new matching facility, known as ATX.
At a meeting with analysts today, the TSX said that it has received verbal approval from the regulators for its new system. It expects that the formal approval notice will be published in tomorrow’s OSC Bulletin, and that the system will be launched later this summer.
Back in October, it began seeking regulatory approval for the new system after its board of directors approved amendments to the rules of the Toronto Stock Exchange to govern the operations of a pre-trade matching facility.
ATX will be a subscription-based trading facility of the TSX designed to match subscriber order flow against in-house interests as well as the interests of other subscribers in a blind electronic book. It is intended to consolidate multiple streams of liquidity from multiple trading desks within a participating organization, other brokers’ trading desks and from the pooling of upstairs client interest. “This consolidation and other ATX features are designed to deliver subscribers additional accessible liquidity, price improvement over the posted best bid/offer and lower execution costs,” it said in the original request for comment.