Alpha Trading Systems
 |
|---|
| Alpha Trading Systems | |
| |
| Founded | 2007 |
|---|---|
| Headquarters | Toronto, Canada |
| Key People | Jos Schmitt, CEO |
| Products | Cash equities |
| Corporate Website | http://www.alphatradingsystems.ca |
Alpha Trading Systems is a Canadian-based Alternative Trading System (ATS), launched in the fall of 2008.[1] It challenges the dominance of the TSX Group in the domestic cash equities business.[2] During the month of April, 2009, more than 725 million shares were traded over Alpha, and the exchange experienced a staggering 300 percent increase in daily trades over the course of the month.[3]
By April of 2009, Alpha had reached 8.5 percent of average volume market share in securities listed on the Toronto Stock Exchange (TSX), across all Canadian transparent marketplaces.[4]
Background
The venture – initially known as Project Alpha – was announced on May 3, 2007 by units of seven of Canada’s major investment dealers: BMO Capital Markets, Canaccord Capital, CIBC World Markets, National Bank Financial, RBC Capital Markets, Scotia Capital and TD Securities.
They were joined by Desjardins Securities and the Canada Pension Plan Investment Board. The latter reportedly paid C$17.5m for a 10 percent stake.[5]
Cinnober Financial Technology was selected in October of 2007 to provide Alpha’s technology platform. Cinnober is also providing the platform for Turquoise, a planned European-based ATS.[6]
Alpha has not disclosed any plans to offer block trading, but is expected to offer pre-open and extended sessions outside of the regular 9:30 a.m. to 4 p.m. trading day.
Existing ATS – including Liquidnet Canada, Perimeter Financial's BlockBook and Omega ATS, TriAct's Match Now and Pure Trading have around 10 percent of Canada’s electronic equity-dealing market. Instinet also plans to launch its Chi-X Canada unit in 2008.
References
- ↑ Canada's Alpha Trading plans for September launch. Reuters.
- ↑ Press Release. Alpha.
- ↑ Alternative trading systems promote more competitive pricing. Investment Executive.
- ↑ Press Release. Cinnober.
- ↑ Canada pension board confirms stake in TSX rival. Reuters.
- ↑ Press release. Alpha.
