So Chi -X has a mystery bidder! Its not a suprise to me and no doubt others as the MTF model is a lousy business plan in the long term and only great for initial investors looking to grab a return on their investment.

Volume is like the wind! It can change at any time and can move in any direction. Very dificult to hold and maintain so any business just based on volume is going to have a tough time when so many competitors join the market.

The regulated Stock Exchanges will get relief in MiFID two as MTFs will begin being treated as the Exchanges. The regulated Echanges are also fighting back with vertical trade/clearing and settlment services.

Technology speed to trade is one of the main MTFs drivers but now virtually all venues are at similar speeds. What else is the differentiator? Price! Well thats plummeting  and putting pressure on the MTFs.

All of a sudden the MTF business does not look too attractive.

Chi-X is the first and by no means the last as the UK model follows a similar track to that in the US years ago with the ECNs. Dont be fooled by any other conclusion this is the beggining of consolidation