BATS Trading Inc., which expects to offer trading in Europe in 2008 through its European Markets division, has reached an agreement with the European Multilateral Clearing Facility (EMCF), a Fortis division, to provide clearing services for BATS in the region.
“We’re pleased to announce the clearing agreement with the EMCF. This is a keymilestone in our 2008 launch program in Europe. The EMCF provides a proven pan-European clearing capability. The needs of our customers will remain our primary driver in the selection of BATS’ partners and we will continue to prioritise the preferences of our customers in Europe just as we do in the US,” says Mark Hemsley, CEO, BATS Trading Europe.
“We feel proud that Bats has decided to appoint the EMCF as a Central Counter Party. Adding Bats to the already existing platforms for which we act as CCP, we are convinced that this will have economies of scale for our Clearing Participants and their underlying Trading Participants. Examples are netting per equity, regardless on which platform the equity was traded as well as one set of legal documentation.
“From the start of the EMCF a year ago, we have shown the industry a strong commitment of becoming a recognised player in Europe. The collaboration with BATS is additional evidence of our strategy which is based on the simple principles of reliability, price competition and quality of service. EMCF and BATS have in common that we wish to accommodate the needs of our customers through technology, processing capabilities and price innovation,” adds Jan Booij, managing director, EMCF.
BATS announced its intentions to enter Europe 31 March and named Hemsley and Paul O’Donnell, COO, BATS Trading Europe, to their posts in April. As reported, BATS plans to occupy space in a Savvis data centre in London.The company plans to file for FSA approval of its multi-lateral trading facility in June.