The Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) are revising trading fees for certain types of trading activity that takes place in the "dark", in other words, without pre-trade transparency.
In a notice published Wednesday, the TSX announced that it will be cutting fees for certain types of dark trading as part of planned changes to dark trading functionality on the TSX and the TSXV.
The changes would mean that fees for certain types of transactions decline, with active fees decreasing to as low as 0.02¢/share for certain trades, and to free for trades priced under $1.
"These highly competitive active fees will apply when specifically seeking dark liquidity with the new ‘seek dark liquidity' order type or a dark pegged order marked as IOC or FOK," the TSX notice says, and the new fees "are intended to promote TSX and TSXV as a first-route destination when seeking dark price-improving liquidity."
The fee changes will be implemented on Nov. 1, subject to regulatory approval. New dark trading functionality is scheduled to take effect on Oct. 23.
In July, the TSX announced that it would introduce changes to dark trading functionality designed to "better accommodate the range of dark strategies" used by brokerage firms and their clients; and, to better integrate its systems into "dealers' multi-venue dark routing strategies."