TORONTO--(BUSINESS WIRE)--Omega Securities Inc. (OSI), operators of Omega ATS and Lynx ATS for exchange-listed equities and fixed income instruments, announced today its new dynamic pricing model for Lynx ATS. The venue, which launched in February 2014, will offer subscribers’ original, per symbol, tiered pricing as an alternative to the traditional maker-taker model. After successfully completing a 120-day implementation preparation period, it has become the first and only ‘pay as you trade’ venue in the country with no market data fees, no subscription fees and no connectivity fees.
The goal of the new pricing is to remove the unnecessary charges applied to the active trading of highly liquid stocks. This would encourage trading of domestic liquid names, while not removing the rebate that brings liquidity providers to less liquid names. OSI will also be introducing two new fixed tags on both Lynx ATS and Omega ATS, which will allow subscribers to track their commissions in real-time, on all trades completed on both systems.
Sean Debotte, CEO of Omega Securities Inc., said, “The standard maker-taker pricing model has recently fallen under scrutiny from marketplace participants and regulators alike, and a few innovative marketplaces have taken a holistic approach to addressing the concerns raised. At OSI we have taken a more scientific approach. Our data tells us that less liquid stocks may still require additional intermediation while more actively traded stocks do not. The Lynx Dynamic Pricing model has been designed to pass savings on to active participants that trade highly liquid symbols while still rewarding market makers that potentially close spreads on less actively traded equities.”
The following tables outline the per symbol pricing and liquidity levels coming into effect. The prices are calculated from the 16th of the month to the 15th of the following, and published immediately. Prices become effective the 1st of the following month.
Super Dollar Pricing
|Liquidity Level||Volume||Passive Rebate||Active Charge|
|B||2.5mm - 6.49mm||-0.0011||0.0015|
|C||0.5mm - 2.49mm||-0.0021||0.0025|
|D||0 - 0.49mm||-0.0031||0.0035|
Sub Dollar Pricing
|Liquidity Level||Price||Passive Rebate||Active Charge|
|E||@ or <$1.00||-0.0001||0.0002|
About Omega Securities Inc. (OSI)
Omega Securities Inc. is a regulated Canadian dealer operating two alternative trading systems, Omega ATS & Lynx ATS for exchange-listed equities and fixed income instruments. Both venues offer a fast, price/time priority trading platform where dealers and their clients can trade at the CBBO (Canadian Best Bid and Offer) at extremely competitive rates. OSI has more than 70 subscriber firms including Canada’s five largest dealers. The systems are designed to maximize internal order processing speed – minimizing the time between when an order is received and an acknowledgement is sent. The company rewards liquidity providers with time priority over other marketplaces and is committed to keeping its marketplace fees as low as possible. For more information, please visit www.omegaats.com.