Chi-X® Europe’s trading tariffs found to be much cheaper than NYSE Euronext's

On Monday Chi-X® Europe Ltd, FSA-authorized securities company operating as a multilateral trading facility (MTF) for the trading of a wide range of European equities, revealed the results of its research. It published the findings of the new NYSE Euronext trading tariffs analysis as compared to Chi-X Europe’s. 

The analysis adopted Tower Group’s cost methodology, based on a 50:50 passive/aggressive ratio and whether the trading firm was operating an agency or principal trading model. Thus the research found Chi-X Europe tariffs are between 18-28 times cheaper than the new NYSE Euronext trading tariffs, exclusive of clearing costs. 

In its February 2009 report Tower Group’s research compared trading costs among Chi-X Europe, Deutsche Boerse, London Stock Exchange and NYSE Euronext and detailed their findings. So it was found that Chi-X Europe is 15-21 times cheaper, exclusive of clearing costs, than the NYSE Euronext trading tariffs at the time of analysis. 

Interim CEO of Chi-X Europe, commented the findings saying, “We anticipated that the exchanges would make some fee adjustments given Chi-X Europe’s growing market share, and we are pleased to find that Chi-X Europe trading fees today are now even more competitive than NYSE Euronext’s.”

Graham Dick, Head of Business Development for Chi-X Europe, believes that the increased fee differential between Chi-X Europe and NYSE Euronext will drive even more trading participants to Chi-X Europe to take advantage of deep order book liquidity, low costs and potential price improvement.