SIX Swiss Exchange and Liquidnet said Thursday they had launched a trading platform that will allow global financial institutions to draw on five previously untapped European markets in finding buyers or sellers.
The new platform for non-displayed equity block trading will start with the roll-out of approximately 3,000 equities in five European equities markets: Switzerland, UK, France, Germany and the Netherlands. More equities markets are expected to be added later.
The Six Swiss Exchange Liquidnet Service will allow SIX Swiss Exchange members and Liquidnet’s institutional members to execute large block trades safely and efficiently, the firms said.
Both SIX Swiss Exchange‟s and Liquidnet‟s members will gain access to the Swiss institutional liquidity, as well as similar liquidity in the other four markets.
Orders will be immediately executable mid-point-only indications, typically delivering between 5 and 70 basis points of direct price improvement, the companies said.
“Having access to this additional liquidity will simplify and accelerate SIX Swiss Exchange members‟ trading activities,’’ Christian Katz, CEO of SIX Swiss Exchange, said.
Together, the two venues say they will marry price discovery, delivered by
SIX Swiss Exchange, and quantity discovery, which Liquidnet provides.
The SLS platform will be offered by SIX Swiss Exchange under SIX Swiss Exchange rules.