Turquoise (trading platform)
The Turquoise is a London trading platform, which started as a rival to the established stock exchanges from 15 August 2008 trade. Turquoise is a multilateral trading system.
The stock market Turquoise is built in charge of nine investment banks (BNP Paribas, Citigroup, Credit Suisse, German Bank, Goldman Sachs, Merrill Lynch, Morgan Stanley, Société Générale and UBS). These together account for about 45 % of the trading volume of European stock exchanges. Similar to the XETRA trading system involves a fully automated trading platform for the trading of all types of securities. In particular, the relatively high fees that are paid by the banks on the regional stock exchanges, combined with the high trading volume of major international investment banks that caused them to reflect, to develop its own alternative trading platform.
While some market experts see a threat to the market position of established exchanges, others are of the opinion that such alternative trading platforms will only be used as leverage for negotiation fees. In particular, the different interests of the hard competing investment banks could harm a project such as Turquoise permanently. Especially in highly volatile market times liquidity is one of the most important properties of a trading platform. Since alternative, new offers can offer this hardly comparable magnitude as old-established stock exchanges, see some experts on such projects as doomed to failure. There are also major barriers to market entry by the necessary IT infrastructure, approvals and reaching out to the regulatory authorities.
First reflections on the structure of the stock market came on in winter 2006, when Citigroup, Credit Suisse, German Bank, Goldman Sachs, Merrill Lynch, Morgan Stanley and UBS merged in November 2006 to develop a common trading platform. The following year, 2007 BNP Paribas and Societe Generale joined the consortium.
Since December 2007, the project Turquoise by Eli Lederman is headed.
On 21 December 2009, the London Stock Exchange Group ( LSEG ), which previously belonged to seven percent of Turquoise declared its intention to increase its stake to 60 percent. The business of Turquoise, which was then incorporated into the group.