Market data and ticker plant provider Activ Financial is building out new feed handlers for Lynx ATS, Omega ATS's new Canadian alternative trading system, and CX2, Chi-X Canada's second ATS, to provide domestic and US customers with complete coverage of venues in the region.
Activ is in production with a number of domestic proprietary trading firms and hedge funds, as well as Canadian and international broker-dealers, following the launch of Lynx ATS in February and CX2 in May last year.
Full order book data from each ATS will be available to out-of-region traders in a raw or normalized format via the vendor's ActivFeed low-latency consolidated datafeed. Meanwhile, the feeds will be added to Activ's Canadian Virtual Book aggregation product, which gives domestic traders a consolidated view of Canadian order books aggregated by price, broker or market to support regulatory requirements in Canada for best execution.
As established markets, Lynx ATS and CX2 are protected under the Canadian Securities Administrators' Order Protection Rule (OPR), which requires all better-priced limit orders to be filled before other limit orders at inferior prices, regardless of the marketplace where an order is entered. "Both venues are protected under OPR, which means your smart-order router has to know where that market is in order to ensure fair market access," says Frank Piasecki, president of Activ Financial.