Swiss Exchange/Liquidnet service expands to more markets
SIX Swiss Exchange and Liquidnet, the global
institutional block trading network, have announced they will now offer block
liquidity in six more European markets through Liquidnet’s block trading
execution platform. SIX Swiss Exchange Liquidnet Service (SLS) will now cover 11 markets and 4,200 stocks.
The platform for executing block trades now will include 1,200
additional stocks from the Belgian, Danish, Finnish, Austrian, Portuguese and
Swedish equities markets.
SLS was launched in July 2011 and originally covered 3,000 stocks from
markets in Switzerland, Germany, France, the UK and the Netherlands. SLS is
considered an efficient and cost-effective way to execute large block trades
increasing liquidity in executions without compromising security and anonymity.
All trades are executed at the mid-point price of the primary exchange and
further cost savings are made possible by avoiding market impact costs, a key
benefit of Liquidnet’s global trading platform. As of July 2011, the average
trade size through SLS was CHF 725,000 (US$ 741,877),
which is significantly larger than any other multilateral trading facility or
exchange – dark or lit.
The SIX Swiss Exchange/Liquidnet partnership was the first time an
exchange and a trading network had joined forces. SIX Swiss Exchange members
are able to direct executable block orders to Liquidnet’s global trading network,
which includes 700 of the world’s leading asset management firms who
collectively manage US$12.4 trillion in assets.
Reporting by Jaya Menon