NYSE President Asks Regulators to Change Rules for Fair Play with Exchanges
- Intercontinental Exchange's President said that the NYSE feels like they are in a 'bullfight.'
Stacey Cunningham, President of Intercontinental Exchange Inc., has said on Thursday that regulators need to change rules that make the task difficult for the New York Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term (NYSE) to compete for stock orders. According to Reuters, the call was made in the midst of the reduction of the market share of exchanges against off-exchange trading platforms.
“On exchange, we are artificially constrained from competing for pretty much half of the market. It’s like we’re in a bullfight, and sure, you can beat the price on an exchange if you’ve drugged the bull and starved him for two weeks,” Cunningham commented during an annual conference held by the Securities Traders Association. One of the rules is the so-called ‘sub-penny’ rule, enacted in 2005, which prevents exchanges from showing bid and offer quotes in increments smaller than a penny.
In fact, Gary Gensler, the US Securities and Exchange Commission (SEC) Chairman, had promised to address the matter by revisiting regulations that could have created an ‘unequal playing field.’ The comment from the President of Intercontinental Exchange comes in the wake of the surge of retail trading activity due to the Covid pandemic that has bolstered the work-from-home dynamics globally.
Reuters quoted figures from Virtu Financial that retail trading accounts for over 20% of market volume nowadays, which is significantly higher than the 10% figure seen in 2018.
South Korea Mobile Stock Trading Activity
With similar figures in Asia, stocks trading activity on mobile platforms in South Korea experienced a significant uptick in 2020 by testing a new all-time high. Finance Magnates reported in September that investors moved an average daily amount of stock transactions worth $23.03 billion over last year, which represented an increase of 219.6% on a yearly basis.
Furthermore, the Bank of Korea noted that an average of 116.3 million trades was carried out throughout mobile trading platforms in the country during the Coronavirus Coronavirus The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, Read this Term outbreak year, which is another surge of 44.8% from the 80.31 million seen in 2019.
Stacey Cunningham, President of Intercontinental Exchange Inc., has said on Thursday that regulators need to change rules that make the task difficult for the New York Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term (NYSE) to compete for stock orders. According to Reuters, the call was made in the midst of the reduction of the market share of exchanges against off-exchange trading platforms.
“On exchange, we are artificially constrained from competing for pretty much half of the market. It’s like we’re in a bullfight, and sure, you can beat the price on an exchange if you’ve drugged the bull and starved him for two weeks,” Cunningham commented during an annual conference held by the Securities Traders Association. One of the rules is the so-called ‘sub-penny’ rule, enacted in 2005, which prevents exchanges from showing bid and offer quotes in increments smaller than a penny.
In fact, Gary Gensler, the US Securities and Exchange Commission (SEC) Chairman, had promised to address the matter by revisiting regulations that could have created an ‘unequal playing field.’ The comment from the President of Intercontinental Exchange comes in the wake of the surge of retail trading activity due to the Covid pandemic that has bolstered the work-from-home dynamics globally.
Reuters quoted figures from Virtu Financial that retail trading accounts for over 20% of market volume nowadays, which is significantly higher than the 10% figure seen in 2018.
South Korea Mobile Stock Trading Activity
With similar figures in Asia, stocks trading activity on mobile platforms in South Korea experienced a significant uptick in 2020 by testing a new all-time high. Finance Magnates reported in September that investors moved an average daily amount of stock transactions worth $23.03 billion over last year, which represented an increase of 219.6% on a yearly basis.
Furthermore, the Bank of Korea noted that an average of 116.3 million trades was carried out throughout mobile trading platforms in the country during the Coronavirus Coronavirus The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, The outbreak of Covid-19 or Coronavirus in early 2020 has since redefined the financial services industry. Brokers have been forced to quickly adapt to several changes, both positive and negative.This includes the FX industry, which saw surges in volumes across the retail and institutional space in Q1 2020. This trend can be explained by an outflow of volatility, coupled with countries taking major moves to stabilize their respective economies.In conjunction with uncertainty caused by the virus, Read this Term outbreak year, which is another surge of 44.8% from the 80.31 million seen in 2019.