Upcoming US equity exchange MEMX has gained the support of Wall Street players Goldman Sachs, JP Morgan and Jane Street Capital.
The latest research from Greenwich Associates reveals traders are not in favour of increased fragmentation, as three exchanges prepare to launch this year.
Following intense debate among market participants on the extensive costs of market data, incumbent exchanges could soon have less power over the consolidated tape in the US.
New exchange established by major Wall Street players is targeting launch for the middle of next year.
Jonathan Kellner appointed as chief executive of newly-formed exchange effective immediately.
Following news of major US players looking to establish a member-owned equities exchange, industry experts agree the move could prove to be positive for markets, but warn the road ahead for MEMX may be a difficult one.
Morgan Stanley, Virtu Financial, Citadel Securities, UBS and Fidelity Investments are among the firms looking to establish a low-cost, transparent equities exchange.