The Exchange is able to sustain consistently cheaper services than its competitors because its trading technology has the lowest unit cost of all the major stock exchanges in Europe.
The tailored service will be based on SETS, the Exchange's electronic order book, and will be offered in conjunction with Clearnet, who will provide the central counterparty, and Euroclear Netherlands, who will provide settlement services. This combination, based on the existing post trade market infrastructure, is designed to attract business from all those operating in the Dutch market.
All stocks in the AMX and AEX indices, which account for around 90 per cent of trading in the Dutch market, will be available on the Exchange's order book. Trade reporting for off-book business will also be supported.
The Exchange has put together its service offering after detailed consultation with a range of Dutch market participants, based in both Amsterdam and London. It believes that its combination of competitive pricing, superior system capacity and reliability, flexible rule book and dedicated customer service will attract Dutch brokers to deal through Europe's most liquid cash equity market.
The service will be launched subject to FSA regulatory approval.
Commenting on the new service, Clara Furse, Chief Executive of the Exchange, said: "The Exchange is delighted to be able to launch its EUROSETS service by competing for business in the Dutch market, which has been demanding a reliable, low cost trading alternative. By addressing their particular needs with this service, we believe we are offering real choice to the market."
For full details of the service see: http://www.londonstockexchange.com/dutch
