June 16, 2023
Equities Notice 2023-021

TMX Group

TMX Equity Trading Notice

Update: TSX Alpha Exchange Order Processing Delay

TMX Equities is pleased to announce that the updated Order Processing Delay on TSX Alpha Exchange ("Alpha") as described in Equities Trading Notice 2023-017 will take effect on July 17th, 2023, pending regulatory approval.

The Order Processing Delay is being updated to statically hold all messages for 1 millisecond instead of dynamically randomizing between 1-3 milliseconds as Alpha currently does today. Orders marked as post only which meet the minimum size requirements will continue to bypass the delay.

The static Order Processing Delay aims to allow liquidity providers protection against adverse selection by providing them time to react and move their passive orders aside when the market is moving against them. Removing the randomization allows participants to deterministically build the processing delay into their liquidity-taking routing strategies, to minimize signaling and aims to optimize execution quality as a whole.

The static 1 millisecond Order Processing Delay is currently available in GTE.

For more information regarding this notice, please contact the Account Management Team.