3. March 2011 15:24
ASIC announced its framework for the introduction of market competition today, taking into account comments received in relation to CP145. That timetable sees Chi-X commencing operation in October-November 2011.
That framework includes some draft market integrity rules. ASIC has indicated that it intends to issue the final rules for competition in April 2011. The market will be informed of the operative date (likely to be late in 2011) at that time.
CP 145 also sought comment on some broader rules in relation to market structure, in relation to which ASIC intends to conduct further consultation.
The ASX has issued a media release in response, which reiterates its willingness to be involved in market competition but also states that they believe some of the proposals in CP 145 (particularly proposals relating to the adequate regulation of dark pools) remain unresolved: “an opportunity exists in Australia to avoid these issues occurring locally, and to prevent market quality and integrity from being impaired”.
More detailed information is available on the ASIC official site.