(December 21 – 15:20 ET) – EFA Software Services Ltd. and the Canadian Venture Exchange Inc. have been selected by the Canadian Securities Administrators to establish and operate a data consolidation system in connection with the implementation of the CSA’s Alternative Trading System proposal.

The CSA will begin contract negotiations with EFA and the CDNX with an aim to having the data consolidation system operational in the fourth quarter of 2001.

“This is an important first step towards introducing alternative trading systems into Canada,” said Randee Pavalow, chair of the CSA Staff Committee on Alternative Trading Systems.

“In order for investors to benefit from the competition presented by alternative trading systems, we first need to ensure that trading data is properly consolidated and distributed.”

The ATS proposal is designed to establish a framework for different types of market places, including ATSs, to operate in Canada, to provide information transparency in the securities market in Canada, and to introduce the concepts of information consolidation and market integration. The ATS proposal was first published July 2, 1999 and was republished July 28, 2000.

As part of the ATS proposal, the CSA proposed to establish a data consolidator to collect pre-trade and post-trade information and produce and disseminate a consolidated feed to the market. To select the party that would design and operate the data consolidation system, the CSA issued a request for proposal on July 28, 2000.
-IE Staff