BUCHAREST (Romania), July 14 (SeeNews) – Romanian brokerage TradeVille said on Thursday that it will no longer act as a market-maker for US shares currently trading on the Bucharest Stock Exchange, BVB, as of August 5.
The Romanian brokerage has acted as market maker for the shares of Apple, Bank of America, Facebook, Google, Coca-Cola, McDonalds, JP Morgan Chase & Co., Merck, Microsoft and Visa trading on the BVB since 2012.
The reasons for this decision are the changing procedures on the BVB and Central Depository regarding the transition from the settlement cycle T+3 to T+2, and risks that TradeVille may be unable to meet due terms of settlement, it said in a press release.
“The risks were properly managed during this period, but keeping them would imply resources and too high efforts,” the brokerage added.
The abbreviations T+1, T+2, and T+3 refer to the settlement date of security transactions and denote that the settlement occurs on a transaction date plus one day, plus two days or plus three days.
The shares will be still trading on the BVB, but without a market-maker, Tradeville said.
During June 23 – August 4, Tradeville said it will continue to maintain firm purchase orders only according to current obligations.
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