To stimulate liquidity, passive orders up to the 60,000 benchmark will qualify for a 50% discount on order fees. Passive orders above this threshold will be free.
In addition, on the first 60,000 trades per month on Dutch securities they complete, all customers will get a 5% discount and will qualify for an additional 5% off any trading over this threshold.
This new incentive scheme will be backdated to 1 April and will be reviewed at the end of 2004.
For small volume brokers who wish to become Associated Trading Partners, Euronext is waiving the annual membership fee until 2005 for members who sign up before September 2004.
Jean-François Theodore, CEO and Chairman of Euronext said: "As the only cross border exchange, we provide our customers with the best products, on the best platform with the best prices. Today, having listened to our customers we are introducing a fee incentive proposal for those who trade Dutch securities. We believe that Euronext offers and will continue to offer the best platform for trading Dutch securities."
Background
- Trading in Dutch securities has grown by 15% the first quarter of 2004, compared to the first quarter of 2003.
- Euronext Amsterdam offers more than 300 Dutch and non-Dutch shares, 345 investment funds, 1300 bonds, warrants and trackers and equity warrants, 52 equity options and more than 20 equity futures and options as well as commodity and currency derivatives products.
- Euronext's electronic cash trading platform has achieved an availability rate of 100% over the last 9 months.
- In 2003, Euronext fees were on average 23.5% lower than LSE domestic fees.
- Passive orders are entered into the order book and are not immediately executed, active orders are orders immediately leading to a trade.
- Associated Trading Partnership status is designed specifically for existing cash market customers with low trading volumes and enables them to aggregate their trades through a larger "host" to benefit from volume discounts.
