January 15, 2010

 Pure Trading Introduces Fees and Rebates for TSX-listed Rights, Warrants, Debentures and Notes

In an effort to support continued improvement in the available liquidity for additional instruments, CNSX Markets Inc. is announcing new pricing on Pure Trading for TSX-listed rights, warrants, debentures and notes effective February 1, 2010.  Firms accessing liquidity in debentures and notes (the “active” side of a trade) will be charged $0.09 per $1000 par value of the debenture or note.  Firms providing liquidity (the “passive” side of the trade) will receive a rebate of $0.07 per $1000 par value of the debenture or note.  Rights and warrants will be included in the standard pricing regime for TSX-listed securities set out below.   

In the meantime, all other fees for Pure Trading remain unchanged:   

For TSX-listed securities:

Fees for the trading of TSX-listed securities (now including rights and warrants) will remain at the levels announced on February 26, 2009 until further notice:

Trades occurring in the market-on-open facility will have each side designated as active or passive, according to time priority, and will either be charged a fee or earn a rebate on the same terms as in the continuous auction market.  Trades in debentures will not be included in the calculation of monthly passive volumes to determine the liquidity provider rebate.

For TSX-listed debentures or notes:

For TSX-V securities (fees unchanged):

Fees for the trading of TSX-V listed securities will remain at the levels announced on April 1, 2009:

There will be no fee charged for the passive side of a trade.

There will be a fee of $0.50 for each “same day” active order resulting in a trade, no matter how many passive orders it interacts with. These fees will be capped at $5,000 per month per participating dealer.  Participating dealers may instead elect in advance to pay a fee of $3,000 per month for the right to remove an unlimited amount of liquidity.

In General

Each dealer will be charged a basic monthly participation fee of $500.

The active side of a trade is the order that takes liquidity from the Pure Trading market and the passive side of a trade is the order that provides liquidity to the Pure Trading market.

Volume thresholds for calculating fees and rebates will be based solely on volume activity in the market on open facility and the continuous auction market.

Unintentional crosses will have each side designated as active or passive and will be either charged a fee or earn a rebate, as they are part of the continuous auction market.

Intentional crosses will neither be charged a fee nor earn a rebate until further notice.

There will be no minimum monthly trading fee and it is expected that some dealers will be earning a rebate from Pure Trading each month. For those who prefer, dealers may elect to defer realizing their rebates and instead preserve same as a rolling credit against future fee payments otherwise due to Pure Trading.

The fees and rebates described above are subject to change.

Communication

Please contact Market Operations at 416-306-0772 or marketops@cnsx.ca, with any questions or comments.