MiFID II Top 5 Venue Reporting Report

Transcription

1 MiFID II Top 5 Venue Reporting Report Prepared by:

2 Introduction The Markets in Financial Instruments Directive (MIFID II) requires investment firms to summarise and make public, on an annual basis, the top five execution venues used (brokers or counterparties) in relation to the volume of trades placed across a range of financial instruments. Investment firms are required to publish this summary both for trades they have executed themselves, and for trades they have placed with other firms for execution. The data below is based on execution data in the period from 1st January 2017 to 31st December 2017 inclusive. 1) Top 5 Execution Venues for Professional Clients Class of Instrument Notification if <1 average trade per business day in the previous year Equities Shares & Depositary Receipts Yes Top five execution venues ranked in terms of trading volumes (descending order) Proportion of volume traded as a percentage of Proportion of executed as percentage of Percentage of passive Percentage of aggressive Percentage of directed NYSE ARCA - ARCX 35% 35% 60% 40% n/a OTC MARKETS - OTCM 18% 18% 60% 40% n/a CITADEL SECURITIES - CDED 12% 12% 60% 40% n/a KCG AMERICAS LLC - GTCO 12% 12% 60% 40% n/a TSX VENTURE EXCHANGE - XTSX 8% 8% 60% 40% n/a

3 2) Top 5 Execution Brokers for Professional Clients Equities Shares & Class of Instrument Depositary Receipts Notification if <1 average trade per business day in the previous year Yes Top five execution venues ranked in terms of trading volumes (descending order) Proportion of volume traded as a percentage of Proportion of executed as percentage of Percentage of passive Percentage of aggressive Percentage of directed Fidelity Bank L9MOPDT0NKE883 60% 60% 60% 40% n/a Laurentian Bank of Canada - HO0K6ZULL3QE6S6SFW60 19% 19% 60% 40% n/a Bank of America - B4TYDEB6GKMZO031MB27 8% 8% 60% 40% n/a National Bank of Canada - BSGEFEIOM18Y80CV46 6% 6% 60% 40% n/a State Street Bank TGEMMWANRLN572 3% 3% 60% 40% n/a 3) Summary of Analysis

4 We set out below our summary and conclusions by reference to the categories of information referred to in Art 3(3) of RTS 28 (Commission Delegated Regulation (EU) 2017/576): a) an explanation of the relative importance the firm gave to the execution factors of price, costs, speed, likelihood of execution or any other consideration including qualitative factors when assessing the quality of execution; The relative importance that we gave to these execution factors and other relevant considerations is dependent on the client categorisation. During the reporting period all of our clients were classified as Professional Clients, the execution factors below refer to the considerations and choices which we accounted for when we dealt with our regulatory duty of best execution: a) price b) costs c) speed of execution d) likelihood of execution and settlement ability e) size of transaction f) nature or characteristics of the order or transaction g) credit and liquidity considerations In the case for professional client s we gave the highest priority to the total consideration, factoring in the size, nature and type of characteristics of the order when representing the price of the product and the costs relating to execution. The Best Execution Approach is the same for all types of financial instrument in respect of which we owe a duty of best execution.

5 b) a description of any close links, conflicts of interests, and common ownerships with respect to any execution venues used to execute ; Tendall Capital did not have an affiliated relationship with any broker-dealer / venues were used to execute. c) a description of any specific arrangements with any execution venues regarding payments made or received, discounts, rebates or non-monetary benefits received; Tendall Capital Markets did not have during the reporting period any arrangements with any executing venues or brokers regarding payments made or received, discounts, rebates or non-monetary benefits. d) an explanation of the factors that led to a change in the list of execution venues listed in the firm's execution policy, if such a change occurred; Tendall Capital Markets maintains a list of authorized broker-dealers and the list is established and maintained in accordance with Tendall Capital Markets Best Execution Policy to acquire the most advantageous execution for the client based on the stock s in question. e) an explanation of how order execution differs according to client categorisation, where the firm treats categories of clients differently and where it may affect the order execution arrangements; No differentiation was made, all clients at Tendall Capital Markets were classified a professional clients. For professional clients a wider range of execution factors were taken into consideration as listed above in a). f) an explanation of whether other criteria were given precedence over immediate price and cost when executing retail client and how these other criteria were instrumental in delivering the best possible result in terms of the total consideration to the client; Not Applicable. Tendall Capital Markets did not have any retail clients during the reporting period.

6 g) an explanation of how the investment firm has used any data or tools relating to the quality of execution, including any data published under Delegated Regulation (EU) 2017/575; Tendall Capital receives and transmits to regulated entities whom are all using NB/BO (National Bid, Best Offer) which provides the best available quality of execution. h) where applicable, an explanation of how the investment firm has used output of a consolidated tape provider established under Article 65 of Directive 2014/65/EU. Not Applicable. Tendall Capital Markets did not use the output of a consolidated tape provider established under Article 65 of MiFID II for the above purposes.