NYSE Amex, a unit of NYSE Euronext (NYX), today announced that pending Securities and Exchange Commission approval, it will begin trading Nasdaq-listed issues on July 13, 2010 on an Unlisted Trading Privilege (UTP) basis, bringing a different market model to the trading of Nasdaq stocks.
“Trading Nasdaq-listed issues on the NYSE Amex platform will provide greater choice for our customers,” said Joseph Mecane, Executive Vice President and Co-Head of U.S. Listings and Cash Execution. “NYSE Euronext is now able to offer traders in Nasdaq stocks two distinctive models – NYSE Amex in addition to NYSE Arca – which appeals to different types of firms and to traders with diverse execution strategies.”
NYSE Amex will feature the following benefits for trading Nasdaq-listed issues:
• A designated market maker assigned to each issue, with an obligation to make fair, orderly markets and to quote at the best bid or offer a certain percentage of the time;
• One or more electronic, off-floor supplemental liquidity providers for most issues, with an economic incentive to add liquidity at the best price a certain percentage of the time;
• An additional market center with a differentiated pricing structure; and
• A parity-based system that enables the designated market maker, any floor broker and the first order in the exchange’s order book to have equal standing in terms of execution priority at a particular price level.
• One or more electronic, off-floor supplemental liquidity providers for most issues, with an economic incentive to add liquidity at the best price a certain percentage of the time;
• An additional market center with a differentiated pricing structure; and
• A parity-based system that enables the designated market maker, any floor broker and the first order in the exchange’s order book to have equal standing in terms of execution priority at a particular price level.
NYSE Amex will add Nasdaq-listed issues on a gradual basis starting with 10 issues on July 14, to be followed by additional issues to be announced soon.
