Nasdaq has created a hosted dark pool, known as Ocean, to host and run private stock trading venues for banks and brokers. The initiative is in response to increasing regulatory pressure on dark pool operators following a spate of recent enforcement actions which has resulted in higher legal, compliance and technology costs. In the wake of these actions, many have questioned whether or not it makes sense for large institutions like Goldman Sachs to be running their own dark pools.
Nasdaq has created a hosted dark pool, known as Ocean, to host and run private stock trading venues for banks and brokers. The initiative is in response to increasing regulatory pressure on dark pool operators following a spate of recent enforcement actions which has resulted in higher legal, compliance and technology costs. The exchange is currently in discussions with several brokers in the US about moving their dark pools to the new business.