EXCHANGE NEWSWIRE, 13 April 2010
NASDAQ OMX modified trading fees for sub-dollar stocks, effective April 15, following a recent move by Direct Edge. Firms will receive a rebate of 10 bps of the total dollar volume of the transaction when adding both displayed and non-displayed liquidity to NASDAQ and be charged 20 bps when removing liquidity. The maker/taker rates for sub-dollar stocks at NASDAQ BX will be 5bps/15bps.
NYX: NYPC appointed Walter Lukken as CEO, effective May 1, 2010. NYPC expects to become operational in 3Q10. Lukken served as Acting Chairman of the CFTC for 18 months and was also a Commissioner of the CFTC since 2002. Lukken has been serving as SVP in the Office of the General Counsel of the NYSE and as a board member for NYSE Liffe in London and NYSE Liffe US since July 2009.
NSX: assets in U.S. listed ETFs and ETNs increased +68% Y/Y to $819.8 bn at March 2010 with 971 products.
ROFEX: Primary Trading Solutions received ROFEX technical certification and authorization to provide DMA to its brokers, becoming the first DMA provider in Argentina.
CME analyst Michal Koblas released a white paper that shows how liquidity indicators -such as market marking activity impact credit spreads.
BME will calculate and disseminate five new indices beginning April 22: the IBEX 35 with Net Dividends, IBEX 35 Double Short, IBEX 35 Triple Short, IBEX 35 Double Leverage and IBEX 35 Triple Leverage.
SIX started trading ten new equity ETFs and two new bond ETFs issued by Amundi.
Oslo Børs started using the Tradelect trading platform. The exchange would however follow LSE in the migration to MilleniumIT technology, little time after completing the switch from OMX to Tradelect technology.
RTS received ISO 9001:2008 certification.
Green Exchange Venture and Trayport announced an ISV connectivity interface between Trayport’s GlobalVision Trading GatewaySM and CME Globex.
Bahrain Financial Exchange (BFX) confirmed its launch for October 2010.
GFI established Latium Capital, a division that trades principal in ethanol, natural gas liquids and other energy and agricultural markets. Based in New York, the team is comprised of four traders: Robert Esposito, Robert Rozzi, Evan Kornhauser and Joseph Verdi. Ron Deal is also expected to join the team in May.
TROW plans to increase its 133 offshore-based analysts by 12 this year. The company is also said to be loking into acquiring a stake in China’s largest asset manager, CAM, with $40 bn in AUM.
BEN AUM increased +5.5% M/M (+50% Y/Y) to $586.8 bn at the end of March.
Calamos AUM increased +3.5% M/M (+40% Y/Y) to $33 bn at the end of March.
AMG: the CFTC approved the the acquisition of Pantheon ventures.
Legg Mason launched a new compensation program for wholesalers which places emphasis on cross-selling opportunities.
Fortress Investment agreed to purchase portfolios of performing and non-performing European residential mortgage assets from affiliates of Residential Capital, as well as acquire the ResCap mortgage platforms located in Germany, the Netherlands and the United Kingdom. ResCap is a subsidiary of GMAC Financial Services. The assets to be acquired include approximately 6,000 residential mortgage whole loans.
SEC Chairman Mary Schapiro plans to review leveraged ETFs. "It's appropriate to engage in a more thorough review of the use of derivatives by ETFs and mutual funds given the questions surrounding the risks associated with the derivative instruments underlying many funds."
US Senator (R-NH) Judd Gregg criticized the need for exchange trading of OTC derivatives. “All of the current proposals go one step too far by mandating trades of these complex financial risk- management tools be executed through an exchange. Such a requirement would result in significant and harmful economic costs without providing the intended safety and soundness benefits. (…) A central problem of mandating exchange trading is the potential market liquidity risk that would accompany it. (…) Mandating real-time dissemination of swap transaction price and quote data will require market participants to announce their trading interests to the entire market and allow others to step in front of their trades, moving the market against their hedges. In such an environment, market liquidity for swap transactions will decrease dramatically, if not disappear altogether.”
Forward Market Commission of India Chairman B.C. Khatua said “unless the rules of the game change in terms of new products and new players (in the commodities futures market), the growth potential is gradually becoming moderate.”
Provided By: Equity Research Desk, www.erdesk.com