EuroTLX

EuroTLX is an Italian multilateral trading facility (MTF) designed to meet the needs of non-professional investors. It was launched in January 2000 as TLX, an internal trading system of the UniCredit group, and over the following two decades developed into the reference Italian market for retail fixed income. The market offers more than 4,000 financial instruments traded in 15 different currencies, including government bonds, corporate and bank bonds, emerging market debt, covered bonds, supranational bonds, structured bonds and bonds cum warrant in the Bond-X segment, shares and share certificates in the Equity segment, and covered warrants and certificates in the Cert-X segment. The market microstructure is mixed: it is order-driven, with at least one liquidity provider required on the order book for every single financial instrument. Liquidity is ensured by a continuous competitive auction mechanism and by the presence of at least one liquidity provider during trading hours for each instrument. Trading hours are extended, from 9:00 to 17:30 Italian time, with a five-level anonymous book and continuous trading with price and time priority. Market rules are designed to protect liquidity for non-professional investors, including a prohibition on proprietary trading, anti-gaming rules, and automatic cancellation of contracts concluded between two liquidity providers. EuroTLX has a distinctive governance history. TLX S.p.A. became the market operator in January 2003 and managed both the regulated TLX market and the EuroTLX MTF from October 2003. With the implementation of MiFID on 1 November 2007, EuroTLX became a full MTF. On 1 January 2010, TLX S.p.A. was renamed EuroTLX SIM S.p.A. and closed the regulated market, retaining only the MTF. In September 2013, Borsa Italiana acquired 70% of EuroTLX, with Banca IMI and UniCredit each retaining 15%. On 1 January 2020, EuroTLX SIM S.p.A. was merged by incorporation into Borsa Italiana S.p.A., which has since organised and managed the EuroTLX market. From 1 April 2020, EuroTLX information has been available on the Borsa Italiana website. The market's participants are divided into liquidity providers and intermediaries operating only on behalf of third parties. Liquidity providers are further divided into Market Maker A, Market Maker B and Specialist, with 14 Italian and international liquidity providers operating on the market. EuroTLX has been recognised by the ECB as a non-regulated market acceptable for collateral management purposes since February 2007, and a central counterparty was introduced for the domestic segment in June 2011.

EuroTLX traces its origins to January 2000, when TLX was launched as an internal trading system (SSO) of the UniCredit group. In January 2003, TLX S.p.A. became the operator of the TLX market. By October 2003, TLX S.p.A. managed both the regulated TLX market and the EuroTLX MTF. In the fourth quarter of 2006, Banca IMI became a shareholder of TLX, and on 12 February 2007 Banca IMI began operating as a market maker. On 26 February 2007, the European Central Bank recognised EuroTLX as a non-regulated market acceptable for collateral management purposes. With the entry into force of MiFID on 1 November 2007, under Article 19, paragraph 12 of Decree Law 164/07, EuroTLX became a full multilateral trading facility. On 1 April 2008, the first Specialist (Banca Popolare di Vicenza) began operating on its own branded instruments, namely bonds and certificates issued by the intermediary or intended for its banking network. On 12 August 2009, Morgan Stanley became the first foreign Specialist, and on 28 October 2009 BNL (BNP Paribas group) became the first non-shareholder Market Maker on EuroTLX. On 15 December 2009, CONSOB authorised EuroTLX to manage multilateral trading facilities and simultaneously authorised the cessation of the regulated TLX market. On 1 January 2010, TLX S.p.A. was renamed EuroTLX SIM S.p.A. and closed the regulated market, retaining only the MTF. On 27 May 2011, UBS became the first foreign Broker, and on 13 June 2011 a central counterparty was introduced for the domestic segment. On 28 November 2011, during the BTP Day, 53,600 contracts were concluded in a single trading day for a total value of 1.2 billion euros. On 28 December 2012, for the first time, annual third-party trading by non-shareholders exceeded that of the two shareholders; in October of that year, a monthly record of 12.1 billion euros in traded value was set. On 24 September 2013, Borsa Italiana completed the acquisition of 70% of EuroTLX, with Banca IMI and UniCredit, which had equally divided the share capital, each retaining a 15% stake. On 21 July 2014, EuroTLX migrated its trading platform to the Millennium IT technology already in use on markets managed by Borsa Italiana and the London Stock Exchange. On 1 January 2020, following the merger by incorporation of EuroTLX SIM S.p.A. into Borsa Italiana S.p.A., the organisation and management of the EuroTLX market passed to Borsa Italiana. From 1 April 2020, the EuroTLX market has also been present on the website www.borsaitaliana.it, where all news, information and communications previously published on eurotlx.com are available.

• TLX launched as an internal trading system (SSO) of the UniCredit group.

• TLX S.p.A. becomes the operator of the TLX market.

• TLX S.p.A. manages both the regulated TLX market and the EuroTLX MTF.

• Banca IMI becomes a shareholder of TLX.

• Banca IMI begins operating as a Market Maker.

• The ECB recognises EuroTLX as a non-regulated market acceptable for collateral management purposes.

• With the start of MiFID, EuroTLX becomes a full MTF under Article 19, paragraph 12 of Decree Law 164/07.

• The first Specialist (Banca Popolare di Vicenza) begins operating on its own branded instruments.

• Morgan Stanley becomes the first foreign Specialist.

• BNL (BNP Paribas group) becomes the first non-shareholder Market Maker on EuroTLX.

• CONSOB authorises EuroTLX to manage multilateral trading facilities and the cessation of the regulated TLX market.

• TLX S.p.A. is renamed EuroTLX SIM S.p.A. and closes the regulated market, retaining only the MTF.

• UBS becomes the first foreign Broker.

• Introduction of the central counterparty for the domestic segment.

• During the BTP Day, 53,600 contracts are concluded in a single trading day for a total value of 1.2 billion euros.

• For the first time, annual third-party trading by non-shareholders exceeds that of the two shareholders; a monthly record of 12.1 billion euros in traded value is set in October.

• Borsa Italiana completes the acquisition of 70% of EuroTLX; Banca IMI and UniCredit each retain 15%.

• EuroTLX migrates its trading platform to Millennium IT technology.

• EuroTLX SIM S.p.A. is merged by incorporation into Borsa Italiana S.p.A.; Borsa Italiana takes over organisation and management of the EuroTLX market.

• EuroTLX market information becomes available on www.borsaitaliana.it.

The Italian reference market for retail fixed income, offering over 4,000 instruments in 15 currencies with liquidity provider support and investor-protective rules.

• Bond-X segment

  Segment for retail bonds including government, corporate, bank, emerging market, covered, supranational, structured bonds and bonds cum warrant.

• Equity segment

  Segment for shares and share certificates.

• Cert-X segment

  Segment for trading covered warrants and certificates.

1. 1EuroTLX SIM - Wikipedia (Italian)it.wikipedia.org
2. 2Eurotlx - Wikidatawikidata.org