August 11, 2022
Equities Notice 2022-014

TMX Group

TMX Equity Trading Notice

TSX DRK Provide Dark Liquidity (PDL) and Self-Trade Prevention Receives Regulatory Approval

TMX Equities is pleased to announce that each of Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) has received regulatory approval from the Ontario Securities Commission, and Alberta Securities Commission and British Columbia Securities Commission, respectively, for the introduction of Provide Dark Liquidity (PDL) functionality and a Self-Trade Prevention Order Feature on both TSX and TSXV. The Request for Comments was published on May 12, 2022, and no comments were received.

TSX DRK Provide Dark Liquidity (PDL) and Self-Trade Prevention continue to build on the growth and functionality of the TSX DRK market, allowing these PDL orders to only interact with other dark liquidity in the order book and creating a truly unique dark experience. TSX DRK allows for the ‘Best of Both Worlds', offering the choice of ranging strategies for dark-only or sweeping the displayed book. Key benefits to TSX PDL and Self-Trade Prevention include:

  • PDL orders will interact only with dark orders (no lit to DRK interaction)
  • Gives users the ability to choose their passive DRK interactions; DRK only through the use of PDL, or all active liquidity using the current DRK order order type
  • Provides passive order solution for institutional client strategies
  • Improves quality of executions particularly for retail and liquidity providers
  • Self-Trade Prevention ‘NoTrade' feature - Prevents wash-trading

TMX Equities is excited about this important development to our dark offerings and would like to thank all participants for their support and comments. For more details, please contact your account team and refer to the updated TSX DRK site - Detailed Guide here.