Chi-X opens for trading
The ASX’s longstanding monopoly over the country’s securities sector has come to an end with the launch of Chi-X’s Australian trading arm.
Chi-X, which runs operations in Japan, Canada and the US, conducted a soft launch on 31 October, following ASIC’s confirmation that the company met all license obligations for trade in the Australian market.
In its first week Chi-X Australia, a subsidiary of US-based Chi-X Global, will trade just six company securities and two Exchange Traded Funds (ETFs). Following the completion of at least two trading cycles, Chi-X will be the first to compete with the Australian Securities Exchange (ASX) trading across the Australian marketplace.
Chief Operating Officer of Chi-X Australia, Peter Fowler, said the competition will reinvigorate the Australian market.
“The government’s decision to allow competition has already provided benefits, and we expect that these benefits will continue to flow to the investment community once our marketplace is fully operational,” Mr Fowler said.
According to ASIC, Australia’s new regulatory framework for a multimarket environment means the industry is now ready for competition.
“ASIC will continue to work with market operators Chi-X and ASX, as well as the broader industry, to ensure a smooth and orderly transition to maintain fair and efficient markets.”
More information about Chi-X is at http://www.chi-x.com/australia/.