According to the Liquidnet, the new platform enables SIX Swiss Exchange members and Liquidnet’s buy side members to execute large block trades safely and efficiently via this new liquidity source.
With this service, both the member of SIX Swiss Exchange and Liquidnet can access to the Swiss institutional liquidity, as well as similar liquidity in the other four markets.
The platform will enable the liquidity in Liquidnet’s global institutional liquidity pool to interact with block liquidity delivered directly from SIX Swiss Exchange members in approximately 3000 securities.
Through the Six Swiss Exchange Liquidnet Service (SLS), SIX Swiss Exchange members can also direct executable block orders to Liquidnet, which will be immediately executable mid-point-only indications, typically delivering between 5 and 70 bps of direct price improvement, before any additional savings made by avoiding market impact costs – the hallmark of Liquidnet’s global trading platform.
In addition to Switzerland, UK, France, Germany and the Netherlands equity markets, both the firms have plans to add few more markets over time.
SIX Swiss Exchange CEO Christian Katz said that having access to this additional liquidity will simplify and accelerate SIX Swiss Exchange members’ trading activities.
Liquidnet Europe managing director John Barker said this is an important first step for Liquidnet, not only bringing increased executable liquidity to our members globally, but underlining Liquidnet’s vision of a new market structure.
