Monday, December 5, 2022 - 16:07

Our business

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:

  1. a high number of listed securities (Foreign Government Bonds, Italian Government Bonds, Corporate Bonds, Large Market Bank Bonds and Structured Bonds);
  2. a remarkable and diversified flow of liquidity;
  3. an efficient price formation process, with lower spreads;
  4. the opportunity to introduce automatisms in the management of orders;
  5. the opportunity to execute client orders at guaranteed prices in line with the best market quotations;
  6. high standards of transparency and absence of conflict of interest;
  7. updated information on the financial instruments traded.

Hi-Mtf Order Driven is a market segment divided into:

  1. 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.

  1. 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:

  1. Guarantee CC&G:The securities traded are guaranteed by Cassa Compensazione e Garanzia, which cancels the counterparty risk;
  2. Competition:Aggressors compete in responses to RFQs received, in the best interest of the client;
  3. Anonymous:The operator who submits the negotiation request is not identifiable by those who receive it and vice versa;
  4. 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