* Alpha dismisses TMX concerns
* Alpha's IntraSpread approved last Friday
* TMX Select made available for client testing last Friday
By Solarina Ho
TORONTO, April 12 Alpha Group's new IntraSpread
trading facility does not provide full and fair access for all
market participants, TMX Group (X.TO) said in a statement on
The operator of the Toronto Stock Exchange reiterated its
earlier position against Alpha's new "dark pool", following the
announcement last Friday that regulators have approved the
system, which will be available for trading before the summer.
"The facility is contrary to many of the principles that
form the foundation of Canada's capital markets, including full
and fair access for all market participants, visible price
discovery and meaningful price improvement for internalized
orders," TMX said in a statement.
Alpha Chief Executive Jos Schmitt dismissed the concerns,
attributing the comments as part of the increased competition
and worries over how exchange markets have evolved in Canada.
IntraSpread is designed to guarantee investors the best
trading price and at fees that will be a fraction of the those
currently charged elsewhere in the Canadian marketplace, said
Dark pools are mostly anonymous, off-exchange stock trading
venues where traders can match orders while concealing price
and volume. It can offer investors less expensive alternatives
for buying and selling shares.
Alpha Group, founded by Canada's biggest banks and the
Canada Pension Plan Investment Board, is an alternative trading
system that has become the TSX's biggest domestic competitor
since its launch in 2007.
TMX announced its own alternative trading system called TMX
Select last fall and the system was made available for client
testing on Friday.