Following the successful completion of a pilot project with two symbols, the CSE is now accepting applications for Market Makers for all CSE-listed securities. As outlined in the November 14 notice the CSE is modifying its market making programme to improve execution quality and service for retail investors. Market Makers will have the following responsibilities in their assigned stocks:
- Maintain a bid/ask spread goal;
- Provide a Guaranteed Minimum Fill for eligible orders;
- Provide automatic odd lot execution, so that all incoming market or better limit odd lot orders will be auto traded at the bid/ask if they cannot be filled by booked odd lot orders;
- Ensure a reasonable bid/ask in the context of current market conditions;
- Undergo periodic performance reviews.
Guaranteed Minimum Fill
In general, client orders with a total volume less than or equal to the Guaranteed Minimum Fill amount on a designated security that are entered with a price at or better than the market at the time of entry will be entitled to a complete fill. An incoming order will first trade with available orders in the book, and the Market Maker will fill the balance if necessary.
Odd Lot Auto Trading
Odd lot orders that are priced at or better than the market at the time of entry (i.e. tradeable) will be filled automatically by the Market Maker.
For a complete list of CSE securities visit:CSE Listings Directory
For a description of the rule amendments related to Market Makers see:
– Notice and Request for Comments – Amendments to Rule 4 Trading of Securities, published April 11, 2014.
For a description of the changes to odd-lot matching see:
– Notice and Request for Comments – Changes to Odd Lot Matching, Published September 4, 2014.
Amendments were approved and implemented in October, 2014. See:
– Notice of OSC Approval: Rule 4 Amendments and Changes to Odd Lot Matching, published October 23, 2014.
For questions about the eligibility requirements for Market Makers, or order entry on a Market Maker security, please contact:
For further information on becoming a CSE Market Maker
or call 416-367-7347.