Jefferies Securities has joined Cboe BIDS Australia as an introducing broker, the first of the service’s connected brokers to do so.
The introducing broker model was launched in September to allow US-based fund managers to trade in the Australian market through partner brokers. Introducing brokers have relationships with and can settle with clients, but do not have a full exchange relationship or the ability to settle with the local CCP.
Jefferies is the first of the 12 brokers connected to the platform to provide this service. Several other firms are in the final stages of testing to take on this status, Cboe confirmed.
Murrough O’Brien, head of Cboe BIDS APAC, commented: “The introducing broker model is important in improving the ability of offshore investors to gain access to the platform using their local broker relationships. It helps to further diversify the liquidity available and showcases the benefits of the global BIDS network and its familiarity among sell-side and buy-side firms across different regions.”
Cboe BIDS Australia, launched in 2023, allows counterparties to trade large volumes of Australian equities and ETFs without alerting the market to their intentions. Conditional messages are submitted to the platform, matches are identified, users firm up their orders and select a broker, and the order is executed on Cboe Australia.
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