EDX London, a UK-based investment exchange and Oslo Bors have begun trading derivatives on Toronto-based TMX Group’s SOLA trading system, an automated derivative trading system.
The new platform’s technology brings speed and functionality to participants trading derivatives and London Stock Exchange Group’s clearing house CC&G will be providing clearing services in the UK to EDX London. Risk and central counterparty clearing will continue to be provided by LCH.Clearnet and for Oslo Bors members through Oslo Clearing, a company in the Oslo Bors VPS Group.
The migration of EDX London onto SOLA marks the completion of the first step in the development of the previously-announced strategic partnership in derivatives between TMX Group and London Stock Exchange Group.
In addition, EDX London will offer futures based on Swedish government bonds, as well as on the Swedish and Norwegian interbank rate. These will be available for trading on-book, offering a modern and transparent market place for these products for the first time.
Jesper von Zweigbergk, senior vice president of derivatives at Oslo Bors, said: “We have successfully migrated the Norwegian derivatives market to a new and enhanced technology platform. This will ensure a stronger base for further development of derivatives trading in Norway and the Nordic region.
“We are pleased to announce that we have brought all of the major market players on board, and with the support of the leading banks and financial institutions of Scandinavia and Europe, we have ensured continued and increased market efficiency. We are confident that this will further strengthen our position as the superior market leader in Norwegian derivatives trading.”
Raffaele Jerusalmi, director of capital markets at London Stock Exchange Group said: “The development of EDX’s Scandinavian derivatives offering builds on the strength of the already highly successful Russia IOB service and demonstrates EDX‘s ability to adapt its offering in line with customer demand. Working together with TMX Group we plan to create a market with a bigger scale and wider range of products.”
