The Non-Executed Orders Screening System or NEOSS is a system that increases market liquidity of non-executed orders. The NEOSS mechanism applies to all types of securities.

How does NEOSS work?

Orders on LuxSE can either be:

  • Automatically executed, if the order book’s situation permits it
  • Placed in the order book, awaiting execution as there is no immediate transaction possible due to the order book’s situation

In the latter case, to increase the chances of the transaction taking place, we inform our recognised liquidity providers through the NEOSS system about a non-executed order. Liquidity providers may either adjust their prices, or insert an opposite order to generate a trade. In effect, the system enables non-executed orders to be monitored in real-time.


Who can use NEOSS?

To access the NEOSS service, a liquidity provider must constantly quote a minimum of 500 securities. Two scenarios are possible:

  • 1

    If there is a recognised market-maker for a security, only this liquidity provider will be asked for a quote.

  • 2

    If there is no specific market-maker for a security, all recognised liquidity providers will be asked for a quote.

Type of orders sent to liquidity providers

Before asking for a quote, we first analyse the price of the order. Based on the available market prices, we calculate a benchmark curve. Only orders within an applied price range of 100 basis points are sent to liquidity providers.

Advantages of the NEOSS service

  • A guaranteed service to monitor non-executed orders

  • Over 90% of executed orders within the 100 basis points range

  • Increased liquidity

  • Competition at liquidity provider level

  • Improved trade prices

  • The buy side no longer systematically trades at a sell side price


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Do you need further information?

Contact us

Guy Weymeschkirch

Head of Markets & Surveillance

+352 47 79 36 236