Virtu Changes Matching Rules for US POSIT ATS07.14.2021
Virtu Financial, a leading provider of global, multi-asset, financial services and products across the complete investment cycle, announced that Virtu’s US POSIT alternative trading system (ATS) will make changes to its manner of operation, including new matching rules and the introduction of subscriber segmentation. The changes to POSIT ATS include:
- Price/size/time order priority
- Price improvement is given to the liquidity provider
- Subscribers will be segmented into three tiers: Neutral, Move Towards and Move Away using a markout methodology that employs long time horizons
- All subscribers will have the option to opt out of interacting with either the Move Towards or Move Away segments on an individual order basis
Additionally, POSIT ATS will undergo a technological rebuild through the rest of the year in order to enhance overall system performance for POSIT ATS subscribers. For a complete description of the changes to POSIT ATS, please refer to the Form ATS-N/UA and attachments filed on SEC EDGAR and available at https://www.sec.gov/Archives/edgar/data/0001457716/000145771621000020/0001457716-21-000020-index.htm.
“The new matching rules, subscriber segmentation and corresponding counter-party selection optionality for POSIT ATS were designed to align with the interests of institutional investors executing longer duration parent orders,” said Brad Johmann, Global Head of POSIT Alert and US ATSs. “POSIT’s enhanced subscriber segmentation logic based on long time horizon markouts provides participants with an alternative approach to the very short time horizons typically used in so many other ATSs today.”
“These enhancements represent the latest in our continued commitment to our clients,” said Steve Cavoli, EVP & Global Head of Virtu Execution Services. “As always, we listen to our clients and apply simple, straight forward solutions.”
With Zoe Zhang and Richard Knight, Execution Quant Group, CLSA
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