London Stock Exchange Improves Its Position As Best Execution Venue

The London Stock Exchange’s position as the best execution venue for FTSE100 securities has been strengthening over recent months.

Having analysed the spreads available on Chi-X and Turquoise in FTSE 100 securities over the course of November, December and January, the Exchange has found that its position relative to either platform has been strengthening over that time.

Comparing the spreads available on the three platforms in January, the Exchange offered the tightest Bid and Offer (BBO) 84.2 per cent of the time, up from 75.9 per cent in November last year. In comparison to Chi-X only, the Exchange was offering the best spread at the BBO 87.3 per cent of the time, an increase of over eight per cent of the time since November. Relative to Turquoise, the Exchange offered the best BBO 92.7 per cent of the time, up from 90.3 per cent in November.

Martin Graham, Director of Equity Markets at the London Stock Exchange, said:

“The London Stock Exchange prides itself on the quality of its offering and the breadth of market participants and investors who are able to access the securities listed on its regulated markets. Today’s figures underline the strength of our offering: not only can investors rely on the Exchange to provide unrivalled depth and certainty of execution, they can increasingly find the best spread.”

The improvement in best price availability on the London Stock Exchange coincides with an increasing appetite among market users to use high quality, regulated venues they can trust. It also follows the introduction of new tariffs on the London Stock Exchange, which incentivise liquidity provision.