Hi-Mtf Sim S.p.A. organizes and manages Hi-Mtf, a Multilateral Trading Facility: a market aim to trading financial instruments, which offers guarantees of transparency, liquidity and efficiency.
Shareholders: FinecoBank, ICCREA Banca, Banca Akros (Gruppo Banco BPM), Banca Sella Holding e Luigi Luzzatti S.p.A..
Hi-Mtf Quote Driven Hybrid is a multi-contributed quote-driven market segment on which Order Flow Provider carry orders received from their clients and Market Makers guarantee liquidity to the available instruments.
The main features are:
- a high number of listed securities (Foreign Government Bonds, Italian Government Bonds, Corporate Bonds, Large Market Bank Bonds and Structured Bonds);
- a remarkable and diversified flow of liquidity;
- an efficient price formation process, with lower spreads;
- the opportunity to introduce automatisms in the management of orders;
- the opportunity to execute client orders at guaranteed prices in line with the best market quotations;
- high standards of transparency and absence of conflict of interest;
- updated information on the financial instruments traded.
Hi-Mtf Order Driven is a market segment divided into:
- Equity Segment (shares and other risk capital securities - art. 21 Order Driven regulation) where there are listed:
a. Financial instruments spread among the public in a significant way as defined in art. 2-bis of CONSOB regulation no. 11971/1999 (Primary Market - Issue).
b. Financial instruments issued by banks belonging to Banking Groups whose Holding Company has ordinary shares listed on a Regulated Market.
The Order Driven Shares segment identifies as an institutional negotiating figure the Order Flow Provider who carry orders received from their clients on the market.
- Bond Segment (bonds and other debt securities - Article 22 Order Driven regulation).
The Order Driven Bond segment identifies institutional trading figures:
a. Order Flow Provider who carry orders received from their customers on the market;
b. Specialist traders who undertake, for each of the financial instruments on which they are involved, to continuously display orders on the market.
Hi-Cert Segment is a Market segment where Certificates & Covered Warrant are contributed by Specialists who guarantee their liquidity and on which Order Flow Provider send orders received from their clients. Hi-Cert Segment is distinguished by a truly innovative market model (the so-called "Request for Execution" or, more simply, "RFE"), a price validation mechanism with two main purposes:
- to increase the optimization of their risk management;
- to encourage, through this better risk management, lower spreads, which would benefit all users.
Hi-Mtf manages, in addition to Quote and Order-Driven, a market segment that works in "Request for Quote" (RFQ) mode. The trading model provides that a "Proposal" forwards trading requests (RFQ) "to Market" anonymously and one or more "Aggressors" respond anonymously.
The objective of Hi-Mtf RFQ is to offer liquidity, in an anonymous, flexible and non-discriminatory way, to "buy-side" and non-retail clients. The whole process is carried out within a regulated trading venue
The main features of Hi-Mtf RFQ are:
- Guarantee CC&G:The securities traded are guaranteed by Cassa Compensazione e Garanzia, which cancels the counterparty risk;
- Competition:Aggressors compete in responses to RFQs received, in the best interest of the client;
- Anonymous:The operator who submits the negotiation request is not identifiable by those who receive it and vice versa;
- Minimum Size:1,000,000 for Italian government bonds and 200,000 for other bonds.
Hi-Mtf implements a flexible management and operational model that leverages on a staff of high quality and professional people; services will be provided also with the contribution of specialized outsourcers able to offer specific expertise, variable and competitive costs