Aquis Exchange PLC today announced the upcoming launch of Aquis VWAP Match (AVM).
AVM will operate as distinct non-displayed order books on the Aquis UK and EU MTFs where members will be able to enter conditional indications of interest (IOIs) to cross orders at the 5-minute Volume Weighted Average Price (VWAP), calculated from trades on lit continuous reference markets.
Scheduled for launch in Q1 2025 pending regulatory approval, AVM builds on Aquis’ successful launch of conditional order types in early 2024. The combination of conditional orders with being able to trade at a VWAP, makes the AVM order type a useful option for orders that are less latency-sensitive, seeking to smooth out the effects of price volatility over a period of time and further minimise market impact.
Unique to AVM, client-facilitating members will have the option to specify if they are open to trading with all types of flow or if they only want to interact with other client-facilitating flow by sending a ‘targeted VWAP order’. Regular VWAP orders will be able to interact with all flow. AVM will support specification of Minimum Execution Size, as well as Limit Orders.
David Stevens, Chief Operating Officer, Aquis Exchange PLC said:
“Aquis consistently innovates with our suite of services and AVM is another example of this. We are currently seeing increased demand from clients for trading services that reduce or negate the importance of latency, and AVM will give our members functionality which allows them to execute at a price equal to VWAP, over a defined time period.”
AVM will operate under segment MICs ‘AVXE’ and ‘AVEU’ for Aquis’ UK and EU entities respectively.
