By Markets Media

BATS Listings Approved

12.06.2011 By Markets Media

Regulators give BATS the green light to begin competing with the New York Stock Exchange and Nasdaq in the U.S. equity listings business.

BATS had originally filed with the Securities and Exchange Commission back in mid-May of this year. Regulators approved the filing this week, giving BATS the ability to begin courting non-listed companies to its BZX exchange.

The move into listings represents a huge opportunity for the exchange. Nasdaq is rumored to make nearly 30% of its profits from its listings business and NYSE also does good business vis-à-vis listings.

Breaking into the duopolistic market held by NYSE and Nasdaq will be difficult. BATS are currently in the process of courting market makers to the exchange, an often overlooked but key component in making an exchange and its respective listings business work effectively. BATS also prides itself on implementing and developing high-speed technology to cater to equity traders using its trading venues.

BATS spokesperson Stacie Fleming said that company could not comment any further as it is currently in a quiet period. Further details on the market maker program will be made in “due time” according to Fleming.

BATS recently completed its acquisition of European dark pool Chi-X Europe which it will then merge with its existing European operations. Its U.S. equities market share has increased 11.5% year-over-year.

Related articles

  1. The equities venue will also be adding a flag for retail flow.

  2. M&A activity had the slowest opening six months in two years.

  3. $63.8bn of shares were executed in the Closing Cross in 2.04 seconds in Russell's annual reconstitution.

  4. Auerbach Grayson Launches U.S. Equities Trading Business
    Daily Email Feature

    FTX US Boosts Equities Business

    The US regulated cryptocurrency exchange has acquired Embed Clearing.

  5. Bats IPO Boosts Exchange Competition

    FESE members have been developing and publishing their playbooks on outage protocols.