July 08 2016

elb2Apart from my Brexit files in Premium: Brexit – Main File, here are a few remarks I made last Saturday in Berlin on the topic (interview in English): Brexit: London wird keine großen Veränderungen sehen.

Public Markets

BM&FBovespa Buys BVC Stake in Integration Push

Christine Jenkins & Denyse Godoy – Bloomberg

BM&FBovespa became the top shareholder of the Bolsa de Valores de Colombia (BVC) buying 9.99% for 44 million reais ($13 million). The bourse has said it wants to play a role in the financial integration of Latin America, and it has already purchased minority stakes in Chile’s Bolsa de Comercio de Santiago and Mexico’s Bolsa Mexicana de Valores SAB.

QV Premium: Exchange Deals Brief – Stake Changes & MILA Exchanges Brief.

PLY: Interesting. The WFE AGM is in Cartagena Columbia this year btw.

 

LSE Gets U.S., Russia Nod For Brexit-Clouded DB1 Merger

Reuters

LSE said on Thursday that U.S. and Russian authorities had approved its $27 billion merger with DB1, giving it the first set of regulatory clearances needed to create a European exchange giant.

PLY: The big question is when the Europeans say no.

DB1 Said To Push Frankfurt Clearing In Case For LSE

John Detrixhe & Aaron Kirchfeld – Bloomberg

Carsten Kengeter’s push to win over German officials and investors comes amid a post-Brexit tussle between European leaders over which city should become the new hub for clearing euro-denominated trades. Much of that clearing currently happens in London, but the U.K.’s eventual departure from the European Union has put that business up for grabs, with cities like Paris wrangling to win it.

PLY: Well if this is true it suggests Carcrash doesn’t understand what he is talking about, or that he is willfully willing to manipulate the facts to get his wretchedly ill-conceived deal done. Neither infers confidence in DB1 but the stench of desperation appears somewhat significant.

QV Premium: DB1-LSE Merger Brief.

 

DB1 Reports Passive Stake Of 10.2% In BATS

Reuters

PLY: Arising from the Direct Edge stake of ISE as I recall.

 

ESMA Publishes The Responses To Its Consultation Paper On Technical Advice On Benchmarks Regulation

MondoVisione

 

EuroParl: ECON Committee Satisfied That VP Dombrovskis Is In A Position To Assume The Financial Stability, Financial Services & CMU

MondoVisione

QV Premium: EU CMU Brief.

Private Markets

Putin Grants Foreign Firms Direct Access To Commodities Trading On Russian Exchanges

Reuters

Russian President Vladimir Putin has amended the law to grant foreign firms direct access to commodities trading on Russian exchanges, according to a SPIMEX statement.

 

British Land Invests In Start-Up Property Exchange (subscription)

Judith Evans – Financial Times

London-based IPSX is preparing to apply for fully regulated exchange status and hopes to open its doors for trading early next year. It will list single-asset companies holding buildings worth about £30m or more as “a proxy for direct investment in property”.

PLY: No valuations disclosed from this, one of several property exchanges in the works in the UK.

 

Coupling of Austrian, Slovenian Power Markets Postponed Until July 21

SEE News

 

Mitsubishi UFJ Financial To Invest In Bitcoin Venture Coinbase (subscription)

Atsuko Fukase – Wall Street Journal

Mitsubishi UFJ Financial Group is stepping into the bitcoin world by investing in Coinbase.

To ramp up operations in Asia, Coinbase is set to raise about $10.5 million from investors on Friday including MUFG’s core banking unit and an MUFG venture-capital fund.

Special Section: FTI, NSEL, India at the Crossroads

PLY: MCX flat to small up, FTIL down 1% after yesterday’s leap.

68 NSEL Scam Accused To Appear Before PMLA Court On 18 July

Jayshree P. Upadhyay – Livemint

Jignesh Shah, who is one of the accused in the scam, was supposed to appear before the court on Thursday but got exemption on medical grounds.

Technology

Legendary Hedge Fund Wants to Use Atomic Clocks to Beat High-Speed Traders

Miles Weiss & Zachary Mider – Bloomberg

Renaissance Technologies seeks a patent for anti-HFT invention. Patent application no. 14/451,356 has one goal: to outrun the speed demons of Wall Street.

PLY: Atomic clocks…expensive but more accurate than the clocks in servers when it comes to zilllionths of a second. Interesting.

 

CME Opens Technology Centre In Bengaluru

Business Standard

CME announced the opening of its new technology centre in Bengaluru that will expand international network, enabling it to serve a broader range of clients worldwide.

 

Crowdsurfer Announces New Investment

MondoVisione

Following the recent news of incoming Chairman, Richard Baker, Crowdsurfer, the data intelligence service for crowd finance, has secured more investment, bringing the total raised to date to £1.2M.

Products

EBS BrokerTec & ICAP Information Services Launch The EBS CNH Benchmark

ICAP

EBS CNH Benchmark is the first fully electronic, trade-backed reference rate for the CNH market.

 

Canadian Securities Regulators Publish Consultation Paper On Margin & Collateral Requirements For Non-Centrally Cleared Derivatives

MondoVisione

 

Gold & Eggs Lure Back Chinese Speculators in Trading Revival

Bloomberg

Chinese speculators aren’t done with commodities yet.

Career Paths

HKEX announced that SFC has given its written approval for Mr Roger Lee Kwok Keung’s appointment as CEO of The Stock Exchange of Hong Kong and Hong Kong Futures Exchange.

Bloomberg reports that Citadel hired Kevin Turner, the COO at Microsoft, to run its securities unit as finance firms seek to help build their technology expertise.

FM reports that IG Group appointed Paul Mainwaring as CFO Designate. He will be replacing Mark Ward on July the 11th, who is leaving the company as originally planned.

CEO Chat: Frank Troise, ITG

Terry Flanagan – Markets Media

Financial Calendar

20.07 – ICDA Cyber Risk London Conference

20.07 – Record date WSE 2015 PLN 2.36 dividend

21.07 – Adjourned WSE Ordinary General Meeting to resume proceedings

New! 19.07 – IBKR Q2 2016 Results – press release

New! 03.08 – TMX Q2 2016 Results – press release

New! 04.08 – Bats Q2 2016 Results – press release

New! 17.08 – NZX Q2 Resultspress release

All forthcoming exchange / investment related events are now listed in our Events page.

Other stories

U.S. Drops Libor Charges Against ICAP Trio After U.K. Acquittals

Suzi Ring – Bloomberg

U.S. prosecutors dropped a criminal complaint over Libor against three former ICAP brokers after the men were acquitted by a U.K. court earlier this year. The case against Darrell Read, Colin Goodman and Danny Wilkinson was closed in a New York court on June 30, according to documents.

 

Tokyo Commodity Exchange: Message From The President & CEO Updated

MondoVisione

 

WFE Responds To Revised Basel III Leverage Ratio Framework Consultation

MondoVisione

The World Federation of Exchanges (WFE) published its response to the Basel Committee on Banking Standards (BCBS) Consultative Document: Revisions to the Basel III Leverage Ratio Framework.

GFMA, IIF, ISDA, JFMC & TCH Respond To The Basel Consultation On Leverage Ratio

MondoVisione

FIA Analysis: Leverage Ratio Proposals Will Negatively Impact Client Clearing

MondoVisione

 

Canadian Securities Regulators Release Latest Three-Year Business Plan

MondoVisione

 

Statement From The UK Chancellor And International Investment Banks On London As A World Leading Financial Centre

MondoVisione

PLY: Suddenly the UK Fin Min can see the benefits that were always obvious to those not afflicted with Euro-myopia.

 

Ex-Barclays Traders Sentenced To Up To Six-And-A-Half Years For Libor Rigging

Kirstin Ridley – Reuters

US Department Of Justice: Former Rabobank Derivatives Trader Pleads Guilty For Scheme To Manipulate LIBOR Benchmark

MondoVisione

 

 

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