What is the design focus of the Instinet Canada Cross Limited alternative trading system?

• A. Facilitating trades for retail investors
• B. Providing a trading platform for government bonds
• C. Allowing institutional trading of TSX listed securities
• D. Regulating energy markets

Answer: (C)

The design focus of the Instinet Canada Cross Limited alternative trading system is primarily centered around allowing institutional trading of TSX listed securities. This system is specifically crafted to meet the needs of institutional investors who are looking for an efficient and reliable platform to execute large orders without the disruptions that can occur in traditional exchange environments.

By catering to institutional trading, the platform facilitates block trades and helps in minimizing market impact, which is crucial when dealing with larger volumes of securities. It allows these institutions to manage their trades discreetly and can enhance liquidity in the market by providing an alternative venue for trading TSX listed securities.

This focus offers significant advantages, especially in terms of speed and accessibility, ensuring that institutions can execute trades promptly while benefiting from the operational efficiencies associated with alternative trading systems.