Views on the integrity of global capital markets
BATS Global Markets recently pulled the plug on its IPO after a computer malfunction caused a mini “flash crash.” Such technological glitches are not new, but they are becoming increasingly common. Rhodri Preece, CFA, examines the lessons we can learn from these events. Read more
Leave a Comment The Australian Securities and Investments Commission (ASIC) recently closed its consultation on the Australian equity market structure. The Commission is now considering how best to tackle a range of market structure issues, such as algorithmic and high-frequency trading (HFT), dark pools, price transparency, and liquidity fragmentation. Read more
Leave a CommentRhodri Preece, CFA, director of capital markets policy, and James Allen, CFA, head of capital markets policy, discuss the state of transparency in bond markets and the potential for increased transparency in Europe under revisions to the Markets in Financial … Read more
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That’s seemingly the thrust of the NYSE’s plans to establish a “retail liquidity program.” Frustrated with its loss of market share to broker/dealer internalizers and other non-displayed trading centers, the exchange seems to want to play the internalization game itself. … Read more
Leave a Comment Recently, the European Commission commenced its overhaul of securities markets regulation with the publication of the eagerly-awaited revised Markets in Financial Instruments Directive, dubbed “MiFID 2”. Nearly a year in the making, the legislative package puts transparency at the forefront … Read more
2 CommentsIn recent weeks, Canadian Securities Administrators (CSA) and the Investment Industry Regulatory Organization of Canada (IIROC) published their regulatory approach to dark liquidity (a.k.a. non-displayed orders) in Canadian equity markets. The announcement came off the back of an earlier consultation … Read more
Leave a CommentDark pools have been back in the news in Asia recently. An article by Asian Investor (subscription required) on 17 August noted there is an increasing trading volume of small-cap stocks in Australia, Hong Kong, and Japan in alternative trading systems … Read more
Leave a CommentHigh-frequency trading has been back in the news and amongst the thoughts of policymakers over the past weeks, with the publication of a speech by Bank of England Executive Director Andrew Haldane on the ‘Race to Zero’ and the publication … Read more
Leave a CommentFor those of us who were around back in 1987 (the year I received my CFA charter, I might add, boastfully), the circumstances of the “flash crash” of 6 May 2010 were in some ways a modern equivalent to the … Read more
Leave a CommentRumor has it that animosity at the top is behind NYSE Euronext Inc.’s rejection of Nasdaq OMX Group’s enhanced takeover bid, though a potential antitrust review would provide a more understandable pretext for refusal. If and when things ever get … Read more
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