Order-to-trade ratio

Oslo Børs has had in place an “Order-to-Executed Order Ratio” since 2012, where excess orders, based on the member’s monthly activity, incur a charge. This charge is to prevent excessive order activity that does not lead to any improvement of the order books. In addition, to comply with MiFID II regulations from January 3, 2018, we will introduce the “Order-to-Trade Ratio” mandated by the regulation.

The table below details the maximum OTRs for each market segment. Breach of these OTR limits will result in closer scrutiny of the member’s trading activity and a warning from market surveillance if the activity is deemed to be disruptive and excessive. Repeat breaches can result in suspension of trading for the member in question.

Parameters for number-based OTR

OTRno = [total number of orders / (total number of transactions + floor)] - 1

 

Venue

 

Segment

Floor

Maximum permissible OTR

Oslo Børs 

Equity

OBX

1

1 000

 

Equity

OBMA

1

100 000

 

Equity

OBST

1

100 000

 

Equity

OBNW

1

100 000

 

Equity

OBPC

1

100 000

 

Equity

OBEF

1

1 000 000

 

Equity

OBEN

1

1 000 000

 

Equity

OBWR

1

1 000 000

 

Fixed Income

OBAU

1

100 000

Merkur Market

Equity

MERK

1

100 000

Oslo Axess

Equity

OAX

1

100 000

 

Parameters for volume-based OTR

OTRvol = [total volume of orders / (total volume of transactions + floor)] - 1

 

Venue

 

Segment

Floor

Maximum permissible OTR

Oslo Børs 

Equity

OBX

1

100 000

 

Equity

OBMA

1

10 000 000

 

Equity

OBST

1

10 000 000

 

Equity

OBNW

1

10 000 000

 

Equity

OBPC

1

10 000 000

 

Equity

OBEF

10 000

10 000 000

 

Equity

OBEN

10 000

10 000 000

 

Equity

OBWR

10 000

10 000 000

 

Fixed Income

OBAU

1 000 000

100 000

Merkur Market

Equity

MERK

1

10 000 000

Oslo Axess

Equity

OAX

1

10 000 000

Contact us

Torbjørn Vik