Toronto-based alternative trading system Chi-X Canada ATS Ltd. will launch trading on its second ATS for the Canadian market, CX2 Canada ATS, on May 3.
The Investment Industry Regulatory Organization of Canada (IIROC) said Tuesday that CX2 intends to launch using a phased-in approach, by initially only making certain securities available for trading. Ultimately, CX2 intends to offer trading in all securities that are listed on Toronto Stock Exchange and TSX Venture Exchange.
CX2 will operate as a fully transparent marketplace, and will provide pre-trade transparency of orders and post-trade transparency of executions. It will also support dark orders and iceberg orders that will not provide pre-trade transparency.
The new market will be open for continuous trading between 8:30 and 17:00 ET; and, all orders that remain at 17:00 pm will expire and be cancelled. Attributed orders will receive broker-preferencing, but anonymous orders will not. Only IIROC members are eligible to be CX2 subscribers.