PAVE, which in Spanish stands for ALTERNATIVE TRADING PLATORM FOR SPANISH SECURITIES, is the project name and first Spanish MTF platform to be launched in the first quarter of 2011 which will enable banks, hedge funds managers and investment funds to directly trade locally and internationally Spanish stocks in a much more liquid, inexpensive, ultra fast and efficient manner than the current traditional exchanges where the Spanish shares currently are traded.
Following the example of the international alternative platforms (Multilateral Trading Platforms or MTFs) - established in Europe since May 2007 under MiFID legal framework, which already have approximately 50% of the market share of FTSE in London or 30% of DAX German or French CAC, the PAVE project today announces its inception and soon launch of trading for Spanish securities expected during the first quarter of 2011.
The PAVE project has been conceived by a group of Spanish financial executives who are currently bringing together the support of Spanish and international Banks and funds, whom are also being invited to join the majority shareholding of the company PAVE once incorporated in the coming months.
PAVE will be created to operate and organize an electronic trading platform in order to;- Increase efficiency in the Spanish stock trading
- Use of Central Counterparty in order to eliminate Credit Risk elimination
- Local and international Clearance and Settlement
- Internationally linked Trading Platforms and communication networks
- Increase liquidity in Spanish shares with new and more participants;
- Quantitative, High Frequency, Algotraders, hedgefunds – MTF
- Institutional clients, Hedgefunds – via a Dark Pool
- Internationalization of access to the Spanish market
- Radically lower Spanish stock trading costs (about 66% cheaper)
The PAVE project and platform, Alternative Trading Platform for Spanish Securities, has been conceived in August 2010 in order to provide liquid, efficient, ultra-fast, secure and International trading of Spanish stocks. PAVE, once formed with private capital will be based in Barcelona with operations in London.
