Julius Baer and SIX Swiss Exchange launch a new segment for trading in traditional investment funds. As market maker and first sponsor Julius Baer provides continually binding buy and sell prices.
The new «Sponsored Funds» trading segment enables all SIX Swiss Exchange participants and their clients who had previously only been able to trade investment funds off exchange or via the primary market to use the stock market.
Julius Baer provides as first segment sponsor and market maker a large selection of over 250 funds from 60 different renowned fund companies to the new trading segment. The choice of funds covers a wide scope of asset classes, countries, regions, sectors, investment themes and strategies.
Transparent pricing
«The new segment provides funds investors with transparent, standardised order execution for investment funds with all the advantages of regulated stock exchange trading. These include transparent pricing with binding buy and sell prices throughout the entire trading day and the use of limit orders,» stated Oliver Heusser, Head Fund Secondary Trading of Bank Julius Baer.
Trading in classical, traditional investment funds will thus be efficient and, above all, timely and market-based, as with equities, bonds, derivatives and exchange traded funds (ETFs). This new variant for order settlement differs from the primary market, where there is a time lag between the calculation of the execution price – the net asset value (NAV) – and the execution of the order.
Innovative solution for Switzerland
Alain Picard, Head Product Management of SIX Swiss Exchange, commented: «SIX Swiss Exchange is delighted to launch, in collaboration with Bank Julius Baer, an innovative solution for the Swiss financial centre. It combines existing competencies in fund trading with one of the world's leading trading platforms to offer real added value to trading participants and their clients.»
