London Stock Exchange improves its position as best execution venue

London Stock Exchange improves its position as best execution venue

The London Stock Exchange’s position as the best execution venue for FTSE100 securities has been strengthening over recent months.

Having analysed the spreads available on Chi-X and Turquoise in FTSE 100 securities over the course of November, December and January, the Exchange has found that its position relative to either platform has been strengthening over that time.

Comparing the spreads available on the three platforms in January, the Exchange offered the tightest Bid and Offer (BBO) 84.2 per cent of the time, up from 75.9 per cent in November last year. In comparison to Chi-X only, the Exchange was offering the best spread at the BBO 87.3 per cent of the time, an increase of over eight per cent of the time since November. Relative to Turquoise, the Exchange offered the best BBO 92.7 per cent of the time, up from 90.3 per cent in November.

Martin Graham, Director of Equity Markets at the London Stock Exchange, said:

“The London Stock Exchange prides itself on the quality of its offering and the breadth of market participants and investors who are able to access the securities listed on its regulated markets. Today’s figures underline the strength of our offering: not only can investors rely on the Exchange to provide unrivalled depth and certainty of execution, they can increasingly find the best spread.”

The improvement in best price availability on the London Stock Exchange coincides with an increasing appetite among market users to use high quality, regulated venues they can trust. It also follows the introduction of new tariffs on the London Stock Exchange, which incentivise liquidity provision.

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Notes to editors:

Percentage of time London Stock Exchange offering narrowest BBO spread:





Three-way analysis




Against Chi-X




Against Turquoise





About London Stock Exchange Group:

London Stock Exchange Group is Europe's leading diversified exchange business. It operates Europe's largest and most liquid equity market, holds the number one position in trading ETFs and securitised derivatives, and through its interest in MTS, is the leading platform for the trading of fixed income products.

The London Stock Exchange itself is the world's most international exchange with nearly 700 overseas companies from over 70 countries on its markets. It has consolidated this position in the last three calendar years, having attracted 218 international companies which raised over £32 billion between them. These figures include international companies on AIM, the London Stock Exchange's growth market, which has grown to become the world's most successful market for small and medium sized enterprises with over 1500 companies at the end of 2008.

Following its merger with Borsa Italiana in 2007, London Stock Exchange Group also now offers post-trade services such as netting, clearing and settlement on an efficient and competitive basis, and a comprehensive range of European bond trading services through MTS.