EXCLUSIVE: SIX Swiss Exchange has reached the highest monthly turnover to date in June at CHF519 million for its SIX Quote on Demand Request for Quotation (QOD RFQ) market, which gives trading participants the choice to settle orders in a bidding process directly with the key European Liquidity Providers (LPs) – despite also witnessing trading activity volumes on its ETF order book decrease in line with markets across Europe in Q2.
The number of trades on SIX Swiss Exchange platform QOD RFP in the last month of the second quarter came to 9,421, the third highest figure to date. The daily traded average this year is over CHF18m, compared to previous year with CHF10.8m – a significant increase, suggesting its popularity with clients.
Trades in QOD RFQ are published immediately after execution, which helps meet the growing regulatory demands for increased transparency into the post-trade processes. Additionally, trade execution reports are made available on the business day following the execution.
The ETF iShares Core MSCI World USD Acc with the ticker SWDA was traded particularly frequently via QOD. Lively trading in this form was also recorded by the ETFs CSSPX and EQQQ. Compared to Q 1, the turnover of the top 20 products traded via QOD increased by 45.12% to CHF765.57m. The two leading ETFs exceeded the 100 million turnover mark; all others at least managed double-digit sales figures, indicating the platform growth.
“With the option to interact with the existing order book, our QOD RFQ provides access to much needed additional liquidity, which is starting to be reflected in the form of execution improvements for market participants. With this innovative service we understand and address these needs and will shortly also include pan-European ETFs”, said André Buck, global head of sales & relationship management at SIX Swiss Exchange.
Speaking exclusively to BEST EXECUTION, he added: “When it comes to ETF trading, execution desks are being called out by clients in terms of what is a fair value for specific instruments. Rising volumes shows that our trading participants have an increasing appetite for the added value of QOD RFQ for ETFs.”
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