have taken minority stakes in electronic communications network, BATS Trading.
The two banks join other Wall Street firms, including
, among other financial firms, to purchase stakes in the Kansas City, Mo.-based electronic communications network (ECN).
BATS did not disclose how much the two companies paid for the stakes.
Alternative trading platforms, including ECNs, have been gaining market share and trading volume traditionally placed through the big equities exchanges like the
New York Stock Exchange
, operated by
, and the
Nasdaq Stock Market
. The platforms also provide a place where the brokerage firms can trade large blocks of shares at cheaper prices.
BATS was created in 2005 and began trading in January 2006, after consolidation left fewer competitors to the NYSE and Nasdaq. It now facilitates trading, on average, of more than 600 million shares a day. The company applied in November with regulators for U.S. exchange status.