PureStream Trading Technologies, the US-based operator of an alternative trading system (ATS), has raised $14m in a series A round led by Nasdaq Ventures, a subsidiary of stock exchange manager Nasdaq.
Financial services firm Bank of America, investment banks BMO Financial Group and Goldman Sachs, investment manager AllianceBernstein and venture capital firm MaC Venture Capital also took part in the round.
PureStream is preparing to launch a US trading venue in the second quarter of 2021 that will use open-ended liquidity transfer rates akin to protocols found in data networks.
The company’s market structure uses percentage rate-based order types for open-ended matches, with price discovery accomplished via referencing the continuous market’s trade reports.
Armando Diaz, founder and CEO, PureStream, said: “The PureStream ATS will offer brokers and their institutional clients greater bandwidth to get more liquidity faster, more cost-effectively and with greater security.”
Gary Offner, head of Nasdaq Ventures, added: “PureStream’s unique matching methodology is particularly complementary to Nasdaq’s current suite of execution services, as well as trading venues around the globe who leverage Nasdaq’s market technology platforms for their trading systems.”
