Turquoise targets 5 pct of Europe volume -report
PARIS, Aug 20 (Reuters) - Alternative equities trading platform Turquoise aims to win 5 percent of European volume by the year end, managing director Eli Lederman said in an interview with the Les Echos newspaper on Wednesday. Turquoise is a cash equity trading platform that aims to offer cheaper trading for banks and brokerages than existing bourses in Europe.
It is backed by big banks BNP Paribas (BNPP.PA), Societe Generale (SOGN.PA), Credit Suisse (CSGN.VX), Citigroup (C.N), Goldman Sachs (GS.N), Merrill Lynch MER.N, UBS (UBSN.VX), Deutsche Bank (DBKGn.DE) and Morgan Stanley (MS.N).
Lederman told the paper he expects traditional bourses' market share to fall below 50 percent in a year to 18 months' time.
Lederman told the French daily the platform's initial phase - "between testing and production", which began on Friday with the trade of some UK and German stocks, is going "very well".
French and Dutch stocks are due to begin trading on Wednesday and the number of trading members is expected to reach 50 - up from the 14 that joined initially - in September.
Lederman said testing would continue into the first two weeks of September, alongside a gradual ramp-up in trading activity, with an official launch and the start of a marketing campaign expected on Sept. 22. Lederman said he expects the capital structure of Turquoise to change and added that work is currently taking place on a plan that would allow major trading members to become shareholders. Lederman confirmed that the Italian market is not yet open to Turquoise because of delays to tests by Italian central securities depository Monte Titoli.
Lederman said he has been told the organisation should be able to carry out the necessary tests from October.
Lederman said the delay "is not good for Turquoise, for its members or for investors in Europe." (Reporting by Helen Massy-Beresford; Editing by Erica Billingham)
