EXCHANGE NEWSWIRE, 03 June 2010
ASX will cut the headline trade execution fee to 0.15bps from 0.28bps from the next month to fend off competition. ASX today unveiled its new fee and rebate schedule, coinciding with the introduction of new trade execution services and functionality for the equity market in late June. Fees for crosses during the trading session will fall from 0.15 bps to 0.10 bps. Fees on opening and closing auctions will remain at 0.28 bps.
SGX will invest S$250 mn in a new low latency trading platform trading based on NASDAQ OMX’s Genium INET technology. SGX “Reach” system will include connections to data centres in New York, Chicago, London and Tokyo. The average roundtrip latency will be below 200 microseconds. SGX's migration to the new trading platform will commence with cash equities in 2011. Annual technology expenses will increase by S$ 12 mn p.a., but the company expects to offset incremental costs with co-location revenues.
SGX announced that its dark pool JV with Chi-x, Chi-East, will start trading early in 3Q10..
NASDAQ OMX entered an exclusive partnership with FactSet Research to enhance its Corporate Intelligence product, creating a macroeconomic research solution with data and analytics.
ICE plans to start clearing of sovereign CDS by September.
ICE: Nomura was approved as a clearing member of ICE Trust. Nomura is the 14th clearing member of ICE Trust and the first headquartered in Asia. ICE Trust said it already cleared over $1 billion in cumulative gross notional value for buy-side customers.
NYX’s COO, Larry Leibowitz, said that dark pools have too much discretion to choose who can use them as “the 5 % rule is arbitrary”. Leibowitz said regulators should reconsider the threshold as “it’s very difficult for exchanges to compete” with that threshold in place.
BMV is working on the launch of an alternative board where small companies will be able to get listed with easier requirements; BMV is also working on Fibras (REITs), which will be launched after getting regulatory approval . Tellez also said that a PEMEX IPO would give “deepness” to the market
NZX put its plan to offer electricity derivatives under review after New Zealand’s major generators formed a trading venture with its ASX. “NZX will consider its options and will assess the potential for launching hedge products specifically designed for small, innovative energy market participants,” the company said.
Knight said at Sandler O’Neill Conference that it plans to expand its US option market making business.
Tricorona, a carbon trading firm based in Sweeden, recommended its shareholders to accept the EUR113 mn bid from Barclays. The offer of 70p per share represents a 40% premium to the company’s closing price as of Tuesday.
Visa would block credit cards with both its logo and UnionPay in Hong Kong, Macau and other destinations starting August 1st according to the 21st Century Business Herald. China UnionPay Data commented that “Cardholders have the right to choose how they settle their overseas payments.”
MasterCard launched MoneySend in the US, a service to transfer money between individuals.
State Street appointed Alistair Lowe as Chief Investment Officer of Global Stocks. Mr. Lowe was previously Chief Investment Officer of a group managing portfolios that straddle multiple asset classes at the firm.
MF Global priced its underwritten public offering of 22.5 mn common shares at $7.10 per share, or $160 million in aggregate gross proceeds. The underwriters are granted an option for 30 days to purchase up to 3.4 mn additional shares of common stock.
Charles Schwab was upgraded to "Outperform" from "Market Perform" at FBR Capital. Target price was raised to $20 from $16.
EU Parliament’s Economic and Monetary Affairs Committee approved a resolution that calls for strict rules on speculative trading in certain derivatives contracts and a ban on speculative CDS trading.
The EU Commission launched a public consultation on reforming corporate governance in financial institutions. The Commission announced amendments to the European rules on Credit Rating Agencies.
Provided By: Equity Research Desk, www.erdesk.com