Guys, I looked into these platforms quite a bit but some time ago. They are best described as dark pools and their main purpose is to hide trading.
"A dark pool is a private exchange that allows investors to trade securities while providing them anonymity. These types of exchanges are usually preferred by institutional investors who want to avoid getting front-run or allowing the wider market to gain information on their trades. While they might sound shady, private exchanges are completely legal in the United States and regulated by the SEC."
tokenist.com/investing/dark-pool-trading/
It is harder to find info in Canada, I found most by searching individual platforms. GB you are correct, for example NEO Exchange is backed by large institutional investors such as OMERS Capital Markets, Barclays and CI Investments.
The CEO said in his sale pitch "Aequitas NEO receive more reliable quotes than on the TSX. Aequitas argues that on exchanges where high-frequency traders have an advantage, orders placed by regular investors at prevailing prices are often cancelled in milliseconds by these speedy players who detect slower participants' activity. As a result, liquidity that appears to be available can vanish in an instant."
Here is a TSX news release on Alpha and Alpha Dark
www.tmx.com/newsroom/press-releases?id=1161
Here is an old news article from the Globe that says Alpha is owned by Canadian Banks and they were saying alternate platforms were about 30% to 35%.
www.theglobeandmail.com/globe-investor/t...stem/article1214835/
However, now they are over 50% and the other big way Canadians are getting fleece, we can only enter orders by 0.5 cents on cheap stocks. That guarantees these platforms and market makers 0.5 on a trade.
For example, in the US, I could enter an order for Zonte at $0.10253 or any fraction penny there of, in Canada I have to go $0.10 or $0.105. The better pricing they talk about on the Canadian platforms is for the big guys only
Kind of long, hope it helps. My conclusion is these are proven bad news for retail traders, because there are 2 sets of rules
And GB, I agree no data on Canadian shorting is pitiful