BATS Europe and UBS MTF offer participants choice of Central Counterparty
The two trading platforms now offer participants the choice of three CCPs, rather than mandating the use of one. This is the first manifestation of a charter signed by Europe’s biggest trading platforms, clearing houses and trading firms to work towards “interoperability”.
Having a choice of CCP will enable trading firms to consolidate trading in one CCP, thereby getting bigger volume discounts and thus lowering the cost of trading overall. Competitors of BATS and UBS MTF such as Chi-X Europe and Turquoise are expected to follow suit.
