- Standardising auction call periods and timings
- Introducing closing price crossing session mirroring the SETS closing auction process
- Improvements designed to stimulate liquidity and improve customer experience of trading in auctions
London Stock Exchange announces a series of improvements to the SETSqx trading service for securities outside the FTSE 350 Index. The changes are designed to improve customer experience and boost liquidity. They include:
- SETSqx auctions will be scheduled more evenly throughout the day. The first auction uncrossing will now take place at 09:00
- The current auction call period will be reduced to 10 minutes before each schedules uncrossing (5 minutes for the closing auction)
- Orders may still be entered throughout the trading day from 08:50 onwards, but will only be visible in the auction call periods
- Following the closing auction, the Closing Price Crossing Session will be introduced to allow a further trading opportunity at the closing auction price in line with the current closing auction process for SETS
Full details of the changes can be found here: www.lseg.com/sites/default/files/content/documents/LSEG_SETSQX_FACTSHEET_5.PDF
Ian-Patrick Lauder, Equity Markets, London Stock Exchange said:
“The SETSqx trading service performs a vital role for smaller securities, bringing liquidity to less traded stocks. The changes we are implementing will enhance the choice investors have in executing trades against market maker Firm Quotes, or in auctions, and will help create an environment where investors are able to trade large sizes in the auctions as well as continuing to interact with market makers throughout the trading day.”