Jul 17, 2012, 9:00am

PDQ Enterprises (www.PDQATS.com), the developer of PDQ ATS, today announced it has inked a deal with Lightspeed Financial, Inc. to provide Lightspeed’s clients with direct access via the Lightspeed Trader platform to PDQ’s electronic algorithmic crowd through both the first to respond / first to match engine as well as the industry’s first electronic auction model.

Lightspeed Financial is a leading provider of ultra low latency direct market access trading technology, risk management solutions, and brokerage services for retail active traders and institutional investors.

PDQ ATS, a new equity trading venue, is powered by an algorithm hosting facility and response mechanism that is designed to emulate the interaction and dynamism of traditional floor brokers, while retaining the anonymity and confidentiality of a dark pool. This “electronic algorithmic crowd” enables liquidity-seeking firms to discover contra-side liquidity and assemble block interest from multiple firms simultaneously by asking the electronic version of ‘what is the market’. Rather than holding an order book of resting liquidity, PDQ ATS empowers its community of liquidity providers to respond to order flow via their proprietary algorithmic trading procedures, generating real competition for order flow.

"Lightspeed caters to active and discerning market participants so we are very pleased its clients will now also have the option to access PDQ ATS’ innovative technology," said Keith Ross, CEO, PDQ Enterprises. "I believe our integration with the Lightspeed Trader platform is a key validation of our model that pauses orders for a fraction of a second, as well as the growing demand for alternative trading venues that will help create a more efficient market structure - something our new auction model clearly provides."

The first of its kind in high-speed equity trading, the PDQ ATS auction model brings efficiency to the market by offering increased liquidity discovery and price improvement through an “electronic algorithmic crowd” competing for orders. When an order is received by PDQ’s auction model at the secure PDQ facility, the order is paused for a full 20 milliseconds, and in that time algorithms respond with their most competitive quotes to build a mini book where the responses are prioritized on a price-time basis. At the end of the 20 milliseconds the trade is matched against the newly created book.

“We provide our clients with superior trading technology and brokerage services, as well as direct connections to the major U.S. exchanges, marketplaces and alternative trading venues – giving them access to the deepest pools of liquidity and helping them obtain superior order execution,” said Stephen Ehrlich, chief executive officer, Lightspeed Financial, Inc. “We are pleased to be able to offer our clients access to the innovative new equity trading venue PDQ ATS.”

Mr. Ross continued, “We are looking forward to working with Lightspeed and providing its clients with the ability to access PDQ’s new and innovative equity-trading venue. PDQ believes the market is primed and ready for its innovative market structure and efficiencies.”

ABOUT PDQ ENTERPRISES

PDQ Enterprises (PDQ), Inc., is the developer of the PDQ Alternative Trading System (ATS), a flexible equity trading venue that offers increased liquidity discovery and potential price improvement through the aggregation of an "electronic algorithmic crowd" of automated market makers. The PDQ ATS platform is based on proven trading technology and operates on a co-located, low-latency network. With the only model of its kind in the equity space, PDQ stands alone in the unique position to create a more efficient market structure and advance the electronic trading paradigm through excellent technology and automated processes. For additional information, please visit http://www.pdqats.com.