BATS Makes Early Move on ETF Reporting

A view of the City of London
Regulators have cited the lack of transparency as reasons for European ETF markets being a fraction of the size of US equivalents.

The new service will allow participants to report their ETF transactions through the venue operator's BXTR service, rather than having to report directly to various exchanges and trade-data monitors. The information will be made public with delays that scale according to the size of the trade, and participants are encouraged to report three minutes after execution. The service will be available for no extra cost to BXTR clients.

While the review of the Markets in Financial Instruments Directive (Mifid II) will mandate reporting in European ETF trades ─ around three quarters of which are over-the-counter and thus unreported ─ BATS is operating the service before any regulatory obligations come into force.

"Since our approval as a Registered Investment Exchange, we've worked to improve market structure for the benefit of ETF trading and investing in Europe," says Mark Hemsley, CEO at BATS Chi-X Europe. "By pairing these efforts with BXTR, we will allow the industry a clear view of true ETF liquidity for the first time. The robust, empirical data gathered through this initiative will also help inform regulators as they develop reporting regimes for ETFs in Mifid II."

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe

You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.

Waters Wrap: The tough climb for startups

Anthony speaks with two seasoned technologists to better understand why startups have such a tough time getting banks and asset managers to sign on the dotted line.

You need to sign in to use this feature. If you don’t have a WatersTechnology account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here