At present, Realkredit Danmark A/S and Nykredit A/S are conducting the final tests in the sub-market. If the results of the testing are satisfactory, Realkredit Danmark A/S will hold a small auction in connection with the sale of mortgage bonds on 7 December 2000. Thus, member firms may have a chance to acquaint themselves with auctions in SAXESS.
The Copenhagen Stock Exchange is in the process of establishing the sub-market DKFI REA ISSUE in SAXESS and requests members and data centres to make sure that data about the new sub-market are retrievable. The sub-market is part of the CSE Fixed Income market.
Opening hours of the new issue sub-market: DKFI REA ISSUE will be open from 10:00 to 16:30.
Auction type: Dutch auction with hidden call.
Who can participate in an auction: Authorisations in SAXESS regulate access to the sub-market. Only members of the Copenhagen Stock Exchange are granted access to the sub-market.
The progress of an auction:
- Auctions in SAXESS are initiated by the issuer, which sends a request with information on the order book, the time of the auction and whether it is a purchase or a sale.
- The participants in an auction enter binding orders into SAXESS. There is no great difference between the way an order is placed in the system in connection with an auction in DKFI REA ISSUE and the way an order is placed in e.g. the ordinary sub-market.
- The issuer enters its order into SAXESS. From that moment other participants can neither place orders nor change already placed orders.
- SAXESS matches the bids entered into the system with the issuer's order. The trades are disclosed to the entire market immediately before they are matched.
