The following order types and features are available on TSX:
- Anonymous Orders
On an order-by-order basis, a trading participant may elect attribution or anonymity. If attributed, the Participating Organization's unique numeric ID will be publically displayed on all associated market data feeds. If marked anonymous, the non-specific numeric "001" will be associated with the order for the life of that order, including after execution, in all market information displays. At the end of the day where a trade is executed anonymously, Toronto Stock Exchange and TSX Venture Exchange will relay underlying Participant identity for that trade to the Canadian Depository for Securities Limited (CDS), in order that the trade may be settled.
Investment Industry Regulatory Organization of Canada, the independent trading regulator, tracks the "true" identity on all orders and trades. Where required, the compliance and risk management departments of the relevant Participating Organizations and Members may review their firm's anonymous orders and trades during the trading day, and, again where required, may retrieve the identity of an anonymous counterparty at the end of the trading day.
- Broker Preferencing
An incoming attributed order from a broker will automatically be matched with another attributed order from the same broker in the same trading venue, regardless of its position in the order book. Jitney and Anonymous orders are excluded from broker preferencing opportunities.
- Bypass Marker
Orders sent containing the bypass flag trade only with booked visible volume, and avoid any non-displayed volume including undisclosed iceberg volume, dark orders, RT participation and RT MGF board lot obligations. Bypass orders may be single-sided or double-sided (a cross).
- Dark Order Types
On TSX and TSX Venture, dark order types include Dark Midpoint orders and Dark Limit orders. These orders types provide full pre-trade anonymity and are introduced as native order features fully integrated with the two markets' displayed order book.
Learn more about Dark Trading
- Duration Order
Duration orders can be entered as:
- Day (expire at 5 pm),
- Good Til Date (expire at 5 pm ET on a specific day),
- Good Til Cancelled (expire at 5 pm ET 90 calendar days from order entry date)
- Immediate Or Cancel (IOC) - this order type is eligible to receive a full or partial fill. Any portion not filled is cancelled immediately), or
- Fill Or Kill (FOK) – this order type is eligible to receive a full fill and if not fully filled is cancelled immediately
- Iceberg Order
An iceberg order is an order containing both hidden and displayed liquidity. When the displayed portion of the order is exhausted, new displayed volume will be calculated and the order will be assigned a new order number to maintain the iceberg order's anonymity. A minimum of 1 board lot must be displayed and only the disclosed volume will maintain time priority at the given price level.
Learn more about iceberg orders.
- Limit Order
An order to buy or sell at a specified price or better.
- Market Order
An order to buy or sell that is to be executed immediately at the best available price.
- Mixed Lots
An order that is mixed (with both a board lot and odd lot portion) is effectively split into two separate orders at the time of entry. The board lot portion trades normally in the Central Limit Order Book (CLOB) and the odd lot portion is treated as an odd lot order.
- MOC Orders
To participate in the Market On Close (MOC) match at 4:00 pm, MOC Mkt orders must be entered by 3:40 pm. All MOC orders before 3:40 pm must be market orders. Offsetting MOC Limit orders can be entered to satisfy the imbalance published from 3:40 pm until 4:00 pm. TSX/V will then calculate the closing price and publish MOC trades at 4:00pm unless a 10 minute extension is required in which case the extension is disseminated at 4:00pm and the MOC trades are published after the extension period concludes at 4:10pm.
Learn more about MOC.
- Must Be Filled Orders
The Must Be Filled (MBF) session is supported on the TSX and TSX Venture markets only. MBF orders are entered to offset expiring derivatives positions.
- Odd Lots
Orders with volume less than a standard trading unit are considered Odd Lot and do not trade in the regular Central Limit Order Book (CLOB).
On TSX, Market Making firms and their Registered Traders (RT's) perform auto execution of Odd Lots. The RT automatically guarantees a complete fill at the TSX Best Bid or Offer (TBBO) for Odd Lot orders priced at or better than the opposite side's best price. If the Odd Lot order's price is not marketable (or if there is no RT) the Odd Lot order is displayed in the Odd Lot book and is eligible to trade continuously at its limit price (without regard to the CLOB price) and will trade at that price if an opposite side Odd Lot order is entered with the exact same volume priced at or better than the resting Odd Lot order's price OR against the RT if the opposite side TSX Boardlot lot quote becomes equal to or better than the oddlots limit price. Odd Lots only trade as "All or None" which means partial fills are not accepted. It is possible for the Odd Lot book to display orders with overlapping prices when resting Odd Lot orders match on price but not on volume.
- On-Stop Order
A limit priced order which resides undisplayed in the On-Stop book until its limit price is "triggered" at which time it becomes a regular limit order in the Continuous Limit Order Book (CLOB). An undisplayed On Stop Sell order is triggered when TSX prices trade down to or through the limit specified on the On-Stop order. An On Stop Buy order is triggered when TSX/V prices trade up to or through the limit specified on the On-Stop order. Once triggered the On-Stop order will trade in the CLOB subject to its limit with any untraded volume fully displayed at its limit price. TMX On-Stop orders Trigger price is always equal to it's limit price.
- Order Protection Rule Features
The Order Protection Rule is defined in National Instrument 23-101, and requires all visible, immediately accessible, better-priced limit orders to be filled before other limit orders at inferior prices, regardless of the marketplace where the order is entered. The following orders/features are supported by all four TMX marketplaces to comply with the Order Protection Rule obligation.
- Directed Action Order (DAO) - The private DAO marker is an implicit or explicit order instruction as defined in NI 23-101. Orders are assumed to be DAO by TMX for all orders provided directly unless otherwise explicitly instructed otherwise. DAO orders trade or book without any attempt to protect better-priced orders on away markets. The responsibility to prevent trade-throughs for orders considered DAO is assumed by the participant.
- OPR Route Out Service – Participants not prepared to accept the default designation of orders as DAO can have their orders intermediated by the OPR Route Out Service made available through the TMX Smart Order Router. The use of this service, which will route orders to other marketplaces with better-priced orders, requires Subscribers to send orders to the TMX SOR through a separate SOR connection and is subject to a SOR Subscriber Agreement.
- Protect Cancel and Protect Reprice Orders – Optional order instructions allowing clients to execute orders with protection from trade-throughs or locking/crossing the NBBO. A Protect Cancel order will execute on the receiving market to the extent possible before cancelling any residual volume. A Protect Reprice order will execute on the receiving market to the extent possible before booking any residual volume one tick away from the opposite side of the NBBO. Once the order is booked on the receiving market with the adjusted price, this price of the order will not change with subsequent changes to the NBBO.
- Post Only Order Feature
Post Only is an optional order feature that helps liquidity providers tighten the bid/ask spread by rejecting an order when immediately executable to prevent removing liquidity. This feature is intended for orders without immediacy where the trader's strategy depends on the order displaying as CLOB-posted liquidity without removing CLOB-posted liquidity.
Post Only is an optional designation available for visible orders (it is not available on dark orders) and does not apply to orders in the opening or MOC sessions. A post only order will be rejected if the order is fully or partially tradable. When post only is applied to a mixed lot order, it only rejects the entire order based on whether the board lot portion is immediately tradable, regardless of the tradable status of the Odd Lot portion. All durations including Good Till Cancelled (GTC) and Good Till Duration (GTD) are accepted, and the order must always contain a limit price.
- Self Trade Prevention
Self trade prevention is an optional order feature that prevents two orders from the same Participating Organization or Member Firm from executing against each other in order to prevent a wash trade.
- Short Marking Exempt (SME) marker
UMIR rule amendments respecting short sales and failed trades have required the use of a Short Marking Exempt tag. Certain types of traders are not required to mark their orders as short, irrespective of their position (long or short) at the time of order entry. Instead, their orders (buys, sells, and crosses) are designated as Short Marking Exempt via the SME tag. The SME tag is indicative only, and has no effect on how the order interacts with the order book. All other traders, when entering a Short Sell orderdo not use the SME tag on their order.
The Short Marking Exempt tag will reside in the private layer of feed messages securing the anonymity of the designation. The Short Marking Exempt designation will automatically be added to unsolicited messages resulting from market making/odd lot responsibilities. Impacted unsolicited messages include trades due to odd lot responsibilities, minimum guarantee fills and RT participation.
- Short Sales
An order to sell shares that are not owned by the seller.
- Standard Trading Price Increments
Standard Trading Price Increments (also known as "Tick Size") are based on the order's price level:
Security Price Level Standard Trading Price Increment Below $0.495 $0.005 $0.50 - $1000 $0.01 $1000 and up $0.125
- Standard Trading Units
Standard trading units (also known as "board lots") are based on the security's previous day per-share closing price on the TSX or TSX Venture:
Security's Closing Price Standard Trading Unit Under $0.10 1000 shares $0.10 and less than $1 500 shares $1 and up 100 shares Convertible Debentures $1000 face value
*As defined in UMIR