BlockMatch Asia

Instinet's BlockMatch Asia is an Alternative Liquidity Pool (ALP) operated by Instinet Pacific Limited, which is authorized and regulated by the Securities and Futures Commission of Hong Kong, and approved as a Recognized Market Operator (“RMO”) by the Monetary Authority of Singapore. BlockMatch Asia provides trading for Hong Kong, Indonesian, Malaysian, Philippines, and Singaporean listed securities.

BlockMatch Asia provides two distinct order books; a Limit Crossing Book and a Market-On-Close Book. Additionally, BlockMatch Asia provides a Conditional Book for the submission and management of conditional orders. The matching of firm up orders, in response to a firm up request, takes place within the Limit Crossing Book.

Benefits

Manage market impact.

Dark non-display functionality with the ability to apply minimum quantity can help reduce information leakage.

Access diverse natural liquidity.

Trade with natural liquidity from a wide spectrum of buy-side and sell-side counterparties, and access liquidity opportunities from Instinet’s diverse institutional client base.

Integrate seamlessly into your workflow.

Access BlockMatch via Instinet’s suite of products, including algorithmic trading strategies, Newport® EMS, FIX, or as a destination from other members.

Manage opportunity cost.

Instead of resting large orders in one venue, use conditional orders so that available trading opportunities are discovered as the parent order is being worked.

Take advantage of size priority.

BlockMatch uses different matching priorities across jurisdictions, which means large-sized orders can receive better queue positions.

Features

Conditional Book

The Conditional Book holds conditional (”non-firm”) orders and manages the identification and notification of contra liquidity. Conditional orders are pegged to the midpoint of the Primary Exchange best bid/offer and are therefore prioritized by size, time. No matching takes place within the Conditional Book; all firmed-up orders are executed within the Limit Crossing Book.

BlockMatch Asia provides for two types of conditional orders:

Algorithmic conditional orders

Users can enter conditional orders via an algorithm, allowing for automated system management of the submission of conditional orders and firm up process.

Manual conditional orders

Non-algorithmic conditional orders.

Overview
 Trading Hours (HKT)
Hong Kong9:30-12:00
13:00-16:00
Indonesia10:00-13:00
14:30-16:50
Fridays 10:00-12:30, 15:00-16:50
Malaysia09:00-12:30
14:30-16:45
Philippines09:30-12:00
13:00-14:45
Singapore09:00-12:00
13:00-17:00
 
Order Types
Mid Peg
  
Time in Force
DAY, GTD

Limit Crossing Book

A continuous trading dark non-display continuous trading order book that provides a range of order types including the ability to peg passively to near touch, aggressively to far touch, and at midpoint. Orders are prioritized on a price, size, time basis, meaning that when there are several orders resting at the same price level, larger-sized orders go to the top of the queue. When orders at a given price-level are the same size, orders are then prioritized by time.

Benefits

Reduce market impact

Orders are not published to the market pre-trade, helping users reduce market impact.

Access diverse natural liquidity.

Cross against natural liquidity from a wide spectrum of buy and sell side counterparties, and access liquidity opportunities from Instinet’s diverse and deep base of institutional agency clients.

Anonymous equal access

Participants trade anonymously and control market exposure, while resting orders are processed strictly by price, size, time priority.

Advanced order types

Supports advanced order types, including Limit, Fill or Kill (FOK), Pegged (Primary, Mid and Market Peg) and Market-on-Close (MOC).

Optimized allocation

Optimize order allocation across BlockMatch Asia, other liquidity pools, and Primary Exchanges.

Overview
 Primary ExchangeTrading Hours (HKT)Settlement (HKT)
Hong KongSEHK

9:30-12:00
13:00-16:00

T+2
IndonesiaIDX

10:00-13:00
14:30-16:50

Fridays
10:00-12:30
15:00-16:50

T+2
MalaysiaKLSE9:00-12:30
14:30-16:45
T+2
PhilippinesPSE

9:30-12:00
13:00-14:45

T+2
SingaporeSGX*

9:00-12:00
13:00-17:00

T+2
    
Order Types

Limit, Fill, or Kill

Immediate or Cancel

Primary Peg

(to Primary Exchange best bid/offer, or at defined increments away from 
best/bid offer)

Mid Peg

(to the midpoint of the Primary Exchange best bid/offer, or at defined increments away from the midpoint)

Market Peg

(to the contra side of the Primary Exchange best bid or offer, or at defined increments away from the contra side best/bid offer)

 
Time in Force
DAY, FOK, GTD, IOC

 

*SGX listed securities: Orders and matched trades must meet a minimum size of lower of 50k shares or SG$150k for SGD denominated securities, and the lower of 50k shares and US$120k for USD denominated securities. Any residual quantity below the minimum size will be expired back.

Market-On-Close Book

A continuous trading dark non-display continuous trading order book that provides a range of order types including the ability to peg passively to near touch, aggressively to far touch, and at midpoint. Orders are prioritized on a price, size, time basis, meaning that when there are several orders resting at the same price level, larger-sized orders go to the top of the queue. When orders at a given price-level are the same size, orders are then prioritized by time.

Algorithmic conditional orders

Users can enter conditional orders via an algorithm, allowing for automated system management of the submission of conditional orders and firm up process.

Manual conditional orders

Non-algorithmic conditional orders.

Key Features

Trade price

Orders will cross with an indicative price (previous Close) and then reprice to the day’s Primary Exchange closing auction price.

Cancellation

Once an order has received an indicative fill, that order quantity cannot be canceled. MOC orders with no indicative fill can be canceled at any time.

Benefits

Receive the benchmark MOC price

Trades execute at the closing auction price published by the Primary Exchange.

Manage order flow on rebalance days

Mitigate operational risks during index rebalances, when there is typically more activity at the close.

Reduce market impact

Large orders can be entered discreetly during the trading day without being revealed to the market.

Manage residual risk

Find further trading opportunities after the closing auction to flatten any remaining unexecuted orders.

Overview
 Primary ExchangeTrading Hours (HKT)Settlement (HKT)
Hong KongSEHK7:30-18:30T+2
IndonesiaIDX7:30-17:30T+2
PhilippinesPSE7:30-17:30T+3
SingaporeSGX*7:30-17:30T+2
    
Order Types
MOC
 
Time in Force
DAY

 

*SGX listed securities: Orders and matched trades must meet a minimum size of lower of 50k shares or SG$150k for SGD denominated securities, and the lower of 50k shares and US$120k for USD denominated securities. Any residual quantity below the minimum size will be expired back.

Legal & Regulatory

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