EU proposals to introduce price disclosure for dark pool trades destroy their purpose and would put an end to anonymous block trades.
The Committee of European Securities regulators (Cesr) is conducting an in-depth investigation into how much liquidity is traded through dark pools, with an aim to improve their transparency and disclosure to the market.
But dark pools’ appeal lies in their exclusivity and opacity. A more transparent system would defeat the object of their existence in the first place.
Most dark pools...