Instinet Japan Enhances ATS Platforms

Instinet Japan Limited announced it has enhanced both of its alternative trading system (ATS) platforms in Japan – JapanCrossing and CBX Asia.

Instinet has added a second pre-open VWAP cross to the JapanCrossing dark pool. The new 8:40 (Japan Standard Time) cross, which follows the existing 8:30 VWAP cross, matches buyers and sellers at the stock’s primary market VWAP for the day.

Reports on preliminary executions and residuals are sent to clients by 8:50 and market impact is mitigated with the trade not being printed until after VWAP has been determined by the Tokyo Stock Exchange at about 15:10.

Instinet has also added support for “iceberg” orders in CBX Asia, the displayed liquidity pool for Japanese and Hong Kong equities.

According to Nick McDonald, Co-Head of Equities, Asia-Pacific at Instinet, “In a low-volume market where large trades are even more difficult to execute, it has become imperative for clients to have the ability to source liquidity in alternative venues like JapanCrossing and CBX ASIA to help minimise market impact. As an agency-only broker, we are driven solely by our commitment to helping clients achieve best execution, and we believe that these enhancements to our two platforms in Japan offer yet another means to that end.”