Luminex operates as an SEC-registered alternative trading system (ATS), designed to provide buy-side institutional investors with more efficient trading of large blocks of shares, Luminex is a completely anonymous, non-quoted trading venue that helps subscribers source liquidity and reduce market impact.
Luminex launched trading on November 3, 2015.
Luminex was created for the buy-side by the buy-side. Luminex seeks to create a trading venue that satisfies the liquidity needs of buy-side firms and prevents the main challenges of dark pools, such as intermediation, fragmentation, fall downs, information leakage, and concerns around ownership and control of trade data.
Luminex is a FIX destination. It is integrated into several Order and Execution Management Systems and has additional flexibility to allow access via multiple technology partners, including Service Bureaus and broker routes where orders are tagged to identify the order as coming from a Luminex client thus maintaining the integrity of the buy-side only pool.
Traders who opt in to use the Luminex LeveLUp order routing service can send anonymously orders previously entered by the Trader into the Luminex ATS to the LeveL ATS via the Luminex UI. The tool gives Subscribers one order route with controls for both resting in Luminex for the block and accessing liquidity in LeveL ATS. LeveLUp provides users with the ability to be in a block-seeking strategy while working the order with minimal market exposure.
Yes. The Luminex trading service has a minimum order size of 5,000 shares. Traders with Luminex’s LeveLUp order route feature turned on are able to send their orders, including orders of less than 5,000 shares, to LeveL ATS.
All executions on the Luminex ATS are priced at the midpoint of the National Best Bid and Offer at the time of execution.
Currently, Luminex has order routing only to LeveL ATS. Client orders sent to Luminex can only trade within Luminex unless the trader has turned on the LeveLUp feature and decides to send an order to LeveL.
NMS securities trade on Luminex.
Luminex supports Firm and Conditional order types. Firm and Conditional Orders can be used by Luminex ATS Subscribers as part of the LeveLUp functionality as well.
The system accepts orders from 7:15 am ET to 4:00 pm ET and executes orders from 9:30 am ET to 4:00 pm ET.
Yes. Luminex buy-side traders can, via the Luminex ATS UI, select an admitted broker-dealer as their “sponsor” on an order-by-order basis and have any resulting transaction credited and cleared and settled via that selected broker-dealer.