EXCHANGE NEWSWIRE, 17 December 2010
CME received FSA approval to begin its London-based OTC derivatives clearinghouse, CME Clearing Europe, in 2011. This venture will first focus on OTC commodity products before introducing financial products.
NASDAQ OMX repurchased 22.78m of its shares from Borse Dubai at $21.82 per share for a total of approximately $497m. NASDAQ OMX plans to raise $370m in the bond market to finance its share repurchase, which represent 11.5% of its stock.
BM&FBovespa extended its share buyback plan period until June 30, 2011. The Brazilian exchange also expanded the number of shares to be repurchased to 60m shares.
NASDAQ OMX launched a new benchmark Finnish Sustainability Index, which comprises of 40 leading and sustainable Finnish-listed companies.
LSE: Patrick Birley, who was hired a few weeks ago to head the group’s new clearing initiative, left the London bourse after disagreements with top management regarding strategy. Prior to LSE, Birley was CEO of LCH.Clearnet’s UK division for 18 months.
HKEx published a consultation paper proposing changes to the current market practice of ex-entitlement trading. Public comments are welcome and the paper seeks opinions on whether shares should be traded ex-entitlement only after shareholders have approved the entitlement.
ELX raised objections to SEC regarding the proposed Fixed Income Clearing Corporation (FICC) rule change, which “would allow FICC to offer cross-margining of certain positions cleared at its Government Securities Division and certain positions cleared at New York Portfolio Clearing”. According to ELX, the rule change “violates numerous provisions of the Exchange Act”.
PAVE MTF is now officially and legally incorporated as PAVE Platform, and by the summer of 2011 it will be launched as an alternative liquidity pool for Spanish stocks.
Chi-X Europe is targeting to expand into equity derivatives, and CEO Alasdair Haynes commented that “there is dissatisfaction with price people pay and the vertical model that is there” and that “there is a way of coming in and doing it at a materially cheaper price and changing the model.”
OCC promoted Mary Savoie to the post of First Vice President, Industry Services from her previous position of Vice President of Industry Services. OCC also promoted William Eineke to the post of Vice President of Risk Management from his previous position as Director of Risk Management.
ConvergEx agreed to purchase RealTick, Barclays’ multi-broker, cross-asset provider of execution management systems. The deal, whose financial terms were not disclosed, is scheduled to be completed by the end of this year, and will expand CovergEx’s technology offering and provide clients with a broker-neutral platform.
E*TRADE appointed Matthew Audette as CFO, replacing retiring Bruce Nolan. Audette has been a controller for the broker since 2005.
Charles Schwab launched a new application tool which allows clients to access their Schwab accounts, trade and track markets on the iPhone, as “investors want access to tools and resources on their terms and don’t want to be tied to the limitations of their desk”.
CME was downgraded to "Market Perform" from "Outperform" at Keefe, Bruyette & Woods. Target price was increased to $340 from $325.
NASDAQ OMX was downgraded to "Market Perform" from "Outperform" at FBR Capital Markets. Target price was increased to $26 from $25.
ITG was downgraded to "Underperform" from "Market Perform" at Keefe, Bruyette & Woods. Target price was reduced to $14 from $15.
Interactive Brokers was upgraded to "Market Perform" from "Underperform" at Keefe, Bruyette & Woods. Target price was increased to $17 from $15.
TradeStation was downgraded to "Underperform" from "Market Perform" at Keefe, Bruyette & Woods. Target price was reduced to $5.50 from $6.00.
The Federal Reserve proposed new rules limiting interchange fees to $0.12, 80% lower than the previous fees.
Provided By: Equity Research Desk, www.erdesk.com
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