Learn About BATS Global Markets and Its Benefits

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BATS Global Markets is a leading global financial markets technology company that provides trading platforms and services to the financial industry.

The company was founded in 2005 and is headquartered in Kansas City, Missouri.

BATS Global Markets is a leading global financial markets technology company that provides trading platforms and services to the financial industry.

Its platforms are used by a wide range of market participants, including broker-dealers, institutional investors, and individual traders.

The company's trading platforms are designed to be fast, reliable, and secure, with low latency and high throughput.

BATS Global Markets is a publicly traded company listed on the NASDAQ stock exchange under the ticker symbol BATS.

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Features and Benefits

BATS Global Markets offers a range of participant tools through its web portal, including analytical and decision support tools that are free to use.

These tools are designed to help participants make informed decisions, and they're a big part of what sets BATS apart from other market operators.

BATS also provides customisable data feeds in Europe and the US, including Multicast PITCH, TCP Pitch, and TCP Fast Pitch, which offer a full depth of book.

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Customisability/Analytics

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BATS offers numerous participant tools as part of its web portal, providing free analytical and decision support tools to participants.

These tools enable participants to make informed decisions with data at their fingertips.

In Europe, BATS has launched Market Analytic Services, giving participants the opportunity to run in-depth market analysis within the BATS market.

BATS also offers an API to market participants, allowing them to access and analyze market data in a way that suits their needs.

Each BATS market data product can be subscribed to unbundled, regardless of charge, giving participants the flexibility to choose the data that's most relevant to them.

Market data feeds in Europe and the US are available, including Multicast PITCH, TCP Pitch, and TCP Fast Pitch, which provide the full depth of book.

DROP (participant trading activity) is also available as a market data product, providing valuable insights into trading patterns.

Delivery Channels

At BATS, clients have the flexibility to choose how they receive market data feeds.

You can work directly with their network engineers to take the feeds straight from the source.

Some clients prefer to go through other market data vendors to get the feeds they need.

BATS makes sure all customers and potential customers receive accurate and timely data.

Understanding BATS

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BATS Global Markets was first launched in 2005 as an alternative trading system (ATS) with a more innovative process for investors.

BATS was marketed as a more efficient way to trade, with lower costs and better technology. It was still regulated by the SEC, but offered different trading and counter-trading options to investors.

BATS quickly gained prominence on the global exchange market after entering the European market in 2008. As a result, it became one of the largest U.S. equities exchanges in the world.

The merger with CBOE Holdings Inc. in 2017 achieved economies of scale in operational costs and made CBOE a stronger competitor against the New York Stock Exchange and the Nasdaq.

BATS was an all-electronic ATS, designed to provide better technology and customer service while avoiding technology problems plaguing major exchanges.

BATS operated four U.S. stock exchanges: BZX, BYX, EDGA, and EDGX, as well as BATS Options and BATS Chi-X Europe, the biggest pan-European stock market.

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Key Information

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BATS Global Markets has a rich history, starting as an alternative exchange before becoming part of the CBOE, one of the largest exchange operators in the world.

The company's electronic trading technology was designed to make trading faster and easier, and it has been incorporated into products on the CBOE.

BATS's impact on the market is significant, with the CBOE being the second-largest U.S. options market by volume.

Here are some key statistics about BATS Global Markets:

  • The CBOE is the second-largest U.S. options market by volume.
  • BATS's electronic trading technology has been incorporated into products on the CBOE.

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What Individual Investors Need to Know

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As a part of the CBOE, Bats is no longer an alternative exchange but now one of the major global exchange operators.

The innovative electronic trading technology developed by Bats has been incorporated into various products on the CBOE, enabling individual investors to gain exposure to European markets.

With Bats's technology, individual investors can now trade across 15 major European markets with just one platform and rule book.

Bats's acquisition of Chi-X Europe Limited in 2011 brought together trading across multiple European markets under one platform.

The merged entity, Bats, also acquired Direct Edge in 2014, creating the second-largest stock exchange, trading fewer shares than the NYSE Euronext but more than Nasdaq.

In 2015, Bats's acquisition of Hotspot brought it into the foreign exchange (forex) market.

Here's a summary of the key events in Bats's history:

Fee Structure

In Europe, BATS doesn't charge for commercial information services.

BATS offers market data products in the US, which are priced on a monthly basis.

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The Last Sale Feed costs $5,000 per month for internal use and $25,000 per month for external distribution.

BATS' Historical Data product is available for $500 per month.

Three months of historical data can be downloaded on the BATS website for free.

Additional data beyond three months can be uploaded onto a BATS-provided terabyte drive at a cost of $2,500 per drive.

BATS has no special arrangements for third-party use of its data.

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Future Plans

As we look to the future, it's clear that BATS has big plans in store. They're currently selling value-added products in the US, and it's likely they'll be doing the same in Europe soon.

BATS is considering expanding their product offerings in Europe, which could be a great opportunity for customers in that region.

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BATS Global Markets has been a leading player in the financial industry for over two decades, with a rich history dating back to 2005.

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The company was founded by Joe Ratteri and his team, who had a vision to create a more efficient and accessible marketplace for buyers and sellers.

In 2011, BATS Global Markets went public with an initial public offering (IPO), raising $450 million in capital.

The company's IPO was a major milestone, allowing BATS to expand its operations and further develop its technology.

BATS Global Markets operates two exchanges, BATS Exchange and BYX Exchange, which together list over 2,000 stocks and ETFs.

The company's exchanges are known for their speed and reliability, with trade execution times averaging just 12 microseconds.

BATS Global Markets also offers a range of other services, including market data feeds and trading analytics.

BATS One Market Data Feed

BATS One Market Data Feed is a valuable resource for traders and investors.

In the US, BATS offers market data products for a fee, including the Last Sale Feed and Historical Data.

The Last Sale Feed costs $5,000 per month for internal use and $25,000 per month for external distribution.

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Historical Data is available for $500 per month, but if you need more than three months of data, you can download it from the BATS website for free.

Additional data beyond three months can be uploaded onto a BATS-provided terabyte drive at a cost of $2,500 per drive.

BATS does not charge for commercial information services in Europe.

Key Takeaways

BATS Global Markets has a fascinating history. It began as an alternative exchange and is now part of the CBOE, one of the largest exchange operators in the world.

The CBOE has made significant strides in trading technology, incorporating BATS's electronic trading technology into its products. This technology has made trading faster and easier.

The CBOE is a major player in European and forex markets, and it's also the second-largest U.S. options market by volume. This is a testament to its success and reach.

Here are some key statistics that highlight the CBOE's prominence:

  • CBOE is the second-largest U.S. options market by volume.
  • The CBOE operates as a major player in European and forex markets.

Adrian Fritsch-Johns

Senior Assigning Editor

Adrian Fritsch-Johns is a seasoned Assigning Editor with a keen eye for compelling content. With a strong background in editorial management, Adrian has a proven track record of identifying and developing high-quality article ideas. In his current role, Adrian has successfully assigned and edited articles on a wide range of topics, including personal finance and customer service.

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