BATS Chi-X Europe and BX Swiss have entered into a partnership agreement designed to bring greater competition and enhanced market efficiencies to the Swiss equities market.
The partnership comprises two key elements:
· Cross-listings for ETFs: Under FINMA regulations, ETF issuers wishing to market to Swiss investors must list their funds on a Swiss exchange. By operating a cross-listing partnership, BATS and BX will streamline the process, making it quicker and cheaper to list pan-European ETFs.
· Trade reporting: BX has approved BATS’ registration as a Swiss Trade Data Monitor (TDM). As a result, non-Swiss domiciled firms will now have the opportunity to report their over-the-counter trades in Swiss securities traded on BX to BATS’ market-leading trade reporting service, BXTR. This move will reduce the cost of reporting over-the-counter trades.
Mark Hemsley, CEO of BATS Chi-X Europe, says: “We made our name by offering solutions that both improve market efficiency and reduce customer costs. Our partnership with BX is no different: through a coherent, coordinated effort the BATS and BX teams will bring new competition and innovative improvements to the Swiss marketplace.”
Luca Schenk, CEO of BX Swiss, says: “Choice and reliable liquidity is what the Swiss market wants and deserves. In partnering with BATS, we’ll be able to provide this in a most convenient way to our combined customer base.”
