Euronext announces March 2024 annual review results of the PSI®

Euronext's commitment to gender equality: Building a better future

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At Euronext, we are deeply committed to diversity, inclusion, and gender equality.

In line with the UN's theme for International Women’s Day 2024, "Invest in Women: Accelerate Progress”, we are determined to create positive change within Euronext and in the communities and ecosystems we are part of. From signing the UN Women's Empowerment Principles to establishing the Euronext Women's Network, our actions aim to make an impact to improve inclusivity.

International Women’s Day celebrations

As we mark International Women’s Day, we stand with the movement for gender equality. Throughout March 2024, Euronext will host initiatives to promote gender equality towards a future where every individual can reach their full potential. Our markets will join the 'Ring the Bell for Gender Equality' campaign, raising awareness worldwide. We will host diverse events across our locations, engaging both customers and our own staff to foster dialogue, share experiences, and cultivate a culture of inclusivity and mutual support. At the same time, as we celebrate the first anniversary of our Women's Network, we recognise achievements across our locations and will strengthen our initiatives introducing specialised internal training programmes such as “Know Your Strengths to Boost Your Development” to empower our workforce.

Mentorship and Education

Mentorship is key to our diversity efforts, fostering a supportive environment for everyone. Through training and mentorship, we aim to empower everyone to grow and thrive. In 2023, 46% of participants in our mentoring programmes were women, demonstrating our commitment to equality and support for women in the workplace. Education is also vital for an inclusive workplace. In 2023, over 400 employees have undergone unconscious bias training to promote fairness.

Our efforts to boost female participation are showing positive results. Our latest employee survey confirms that our people appreciate our commitment to diversity and inclusion, with almost 90% of Euronext employees believing that management genuinely supports equality between genders.

Moving forward

Every step towards gender equality is a step towards a better future. Let's stand together for change and create a world where everyone has equal opportunities. International Women's Day is a reminder of our progress towards gender parity and the work that remains ahead.

More International Women's Day

 

ELITE launches its second group of leading companies in Portugal, growing Euronext’s large private market ecosystem

Euronext announces March 2024 annual review results of the AEX® Family

The latency costs of Dark MTFs on continental stocks: How kilometres translate into basis points

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Pages: 18

Publication date: 24 February 2024

Authors: Paul Besson, Head of Quantitative Research & Anatole Casimir, Quant Research Analyst

In this Quant Research report, we look at implicit latency costs of London-based Dark MTFs for trades on stocks listed on Euronext, whose data centre is located in Italy.

Did you know you are paying a latency tax?

The matching engines of continental Primary Markets are located in Europe, hundreds of kilometres away from London-based Dark MTFs.

It takes 7-8 milliseconds for MTFs to import Euronext Mid-Point prices from Euronext’s Data Centre in Bergamo to London.

31% of Dark trade prices on MTFs are stale on Euronext-listed stocks, and the Opportunity Cost per stale Dark trade amounts to 1.0 tick and 2.3 bps. The overall expected Implicit Latency Cost for a passive Dark trade therefore amounts up to 0.69 bp for a participant unable to benefit from favourable stale trades.

How can you avoid it?

We encourage Sell-Side and Buy-Side institutions to conduct bespoke estimates on their proportion of stale Dark trades, and on their Implicit Latency Costs.

Nevertheless, Euronext’s new Dark trading functionality - Euronext Mid-Point Match - will have no latency; therefore, its total trading cost will amount to only 0.3 bp, as no participants will be exposed to Latency Costs.


For more information and to receive a copy of the report, contact QuantReports@euronext.com

To connect to Euronext Mid-Point Match, contact EquitiesTeam@euronext.com and check out our webpage.

Equity Trading News - February 2024

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Are you afraid of the dark? Thanks to Euronext Mid-Point Match, you won't be.

On 18 March 2024, Euronext will launch dark, mid-point and sweep functionalities with Euronext Mid-Point Match.

For the first time, you will be able to trade Euronext stocks without any implicit cost related to latency, whilst benefiting from a unique pool of liquidity fostered by local brokers and investors.

Did you know? 31% of Dark MTF trades happen at stale mid-point prices, leading to an implicit 'latency tax' up to 0.69bps for your execution on London-based MTFs.

Read all about it below.

Equity Trading Newsletter February 2024 Image

 

 

 

Quantitative Research Report:
Latency cost on Dark MTFs when trading continental stocks

Authors: Paul Besson - Head of Quant Research, Euronext; Anatole Casimir - Quant Analyst, Euronext

1. How often do Dark MTFs display stale (i.e. outdated) prices on Euronext listed stocks? And what is the opportunity cost of such stale prices?

31% of Dark trades on MTFs are stale.

The opportunity cost per stale trade amounts to 1 tick. 

2. What is the overall expected latency cost across different stocks?

The overall expected latency cost for a Dark trade is up to 0.69 bps, and it increases up to 0.89 bps for stocks with larger primary spread.

Stock
Universe

% of Stale
Dark Trades

Price absolute
difference for
Stale Trades
bps)

Latency cost
(bps) if 100%
adverse latency
on stale trades

Latency cost
(% of Primary Spread)

Primary spread ≤ 4.1bps

33%

1.51 bps

0.50 bps

19%

Primary spread > 4.1bps

29%

3.02 bps

0.89 bps

16%

All Stocks

31%

2.27 bps

0.69 bps

~(31%*2.27bps)

17%

3. How will the total cost of Euronext's Dark offering compare to Dark MTFs' total cost?

Euronext Mid-Point Match will have no latency: total cost to trade in the dark will only amount to 0.3 bps (pure dark execution fees).

You will not be exposed to a 'latency tax' when trading on Euronext.

4. How can Buy-side firms estimate their opportunity costs on Dark MTFs?

Ask brokers for the percentage of stale Dark trades, and the implicit adverse opportunity cost on such trades.

5. How can you avoid paying this implicit 'latency tax'?

Connect to Euronext Mid-Point Match: the suite of dark, mid-point and sweep functionalities embedded within Euronext's Central Order Book.

  • No latency in mid-point computation
  • No latency in sweeping from dark to lit book
  • No implicit 'latency tax'
  • Unique liquidity including from local brokers and investors

Download the official communication and technical documentation here:

Euronext Mid-Point Match Dark Order Book Go-Live dates for Euronext Cash Markets  

ENX Mid-Point Match

 

 

Interested in reading the full quant study?

 

Please request a copy from QuantReports@euronext.com

Learn more about Euronext Mid-Point Match and dark functionalities from our recent webinars:

  • Sell-side: Euronext dark value proposition & technical specifications
    REPLAY LINK
     
  • Buy-side: Euronext dark value proposition & quant study on latency impacts
    REPLAY LINK

The Euronext Equities team at events - see you there!

7 March, London

FIX EMEA Trading Conference

Hear Simon Gallagher, Euronext London CEO & Head of Global Sales, speak on the panel "Fixing Equities" at 14.35, and stop by the Euronext booth to discuss our "Dark Latency tax" quant report with the Equity and Quant teams. 

Event website

 

AFME Annual Equities Dinner

Event website

22-24 April, Paris

Trade Tech Europe

Meet up with Paul Besson, our Head of Quant Research, and Vincent Boquillon, our Head of Equity Trading, during the Buy-side roundtables (Mon 22 April)

Hear Emilie Rieupeyroux, our Head of Market Strategy, speak on the panel "Exploring the major market structure themes: how can our industry create an efficient European equities market structure that delivers liquidity and alpha opportunities for investors?" (Tues 23 April)

 

Event website

For more information

EquitiesTeam@euronext.com

Don't hesitate to contact your sales representatives with any queries or feedback.

Thank you!

R15145 - ARGO FRONTEND DEVELOPER

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Submitted by master_of_puppets1 on

RESPONSIBILITIES :

Designs, codes, or configures, tests, debugs, deploys, documents and maintains large and/or complex C# programs.

Uses a variety of software development toolkits, programming languages, testing/verifying applications, while adhering to specific development best practices and quality standards.

Gathers business requirements, translating that information into detailed technical specifications from which programs will be written or configured, and validating that the proposed applications align with the architectural design and with the business needs.

R15430 - Euronext Clearing - Sales Italian Markets Migrati…

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Submitted by master_of_puppets1 on

Euronext Clearing is a multi-asset clearing house that currently provides proven risk management capabilities on several markets, across a range of trading venues including Euronext Belgium, France, Ireland, Italy, the Netherlands and Portugal, MTS, BrokerTec and Vorvel.

Asset classes cleared include equities, EFTs, closed-end funds, financial and commodity derivatives, bonds and repos.

Euronext launches Daily Options on the CAC 40 ® index

R15459 - Information Security Officer - Governance, Risk a…

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