2010 Annual Meeting in Paris


Monday 11 October 2010



Annual Meeting Opening
  • WFE Chairman William J. Brodsky, Chairman & Chief Executive Officer, Chicago Board Options Exchange
  • Duncan Niederauer, Chief Executive Officer, NYSE Euronext
  • French Finance Minister Christine Lagarde
Address by Thomas Peterffy, Founder and Chief Executive Officer of Interactive Brokers
Panel 1 – Exchange Strategy
This panel will examine industry trends. What are exchanges’ competitive advantages versus other trading venues? How have publicly listed exchanges, industry consolidation and recent public policy shaped exchanges’ relations with issuers, investors, and intermediaries? How have expectations changed concerning exchanges’ role in the recovery of the financial services sector? How can exchanges succeed in the dual objectives of profitability and providing essential public goods in a regulated space, namely the raising of fresh capital, price discovery, and risk management?
Moderator: Antonio Zoido, Chairman, BME - Spanish Exchanges
Duncan Niederauer, Chief Executive Officer, NYSE Euronext
Ronald Arculli, Chairman, Hong Kong Exchanges and Clearing
Xavier Rolet, Chief Executive Officer, London Stock Exchange Group
Remarks by Professor Larry Harris
Fred V. Keenan Professor of Finance, University of Southern California, & General Editor of the WFE’s jubilee book, “Regulated Exchanges: Dynamic Agents of Economic Growth.” The book was commissioned by the WFE Board of Directors for this occasion, and is being published by Oxford University Press.
Panel 2 – Exchanges, clearers and OTC derivatives
This panel will review the progress in creating a safer, more transparent environment for over-the-counter (OTC) derivatives. It will examine the roles that clearinghouses and exchanges are coming to play to a greater degree in managing risks for those trading such products, and so reducing systemic risks. It will look at progress on standardizing the credit default swap market, and the odds of achieving coordinated international regulation.
Moderator: Donald Donahue, Chairman & Chief Executive Officer, DTCC
Andreas Preuss, Deputy CEO, Deutsche Boerse AG
Jane Diplock, Chairman of the IOSCO Executive Committee
Jeffrey Sprecher, Chairman & Chief Executive Officer, IntercontinentalExchange ICE
Craig Donohue, Chief Executive Officer, CME Group
Garry Jones, Group EVP & Head of Global Derivatives, NYSE Euronext



Tuesday 12 October

Address by Christian Noyer, Governor, Banque de France
Panel 3 – New Forms of Trading
Following the “flash crash” of 6 May 2010, high frequency trading (HFT) and other relatively recent forms of trading came under new scrutiny by market participants and regulators. Exchanges everywhere have obligations to provide for fair and orderly markets: how in 2010 can these be met in a world of HFT, lit and dark pools side by side, co-location for computer servers, exchange of futures for futures, and so the list goes. 
If the goal is somehow to calm down trading, various proposed bans on short selling are not likely to meet the objectives of regulators, in WFE’s view. In fact, in today’s complex trading mix, how might short selling bans distort price discovery? Is calming down trading an appropriate goal for authorities? Should they be trying to give the markets an upward bias?
In sum, what can be done to maintain and grow liquidity for the public marketplaces given today’s complex trading mix? Strangely, having proven their worth these past three years to the global financial system, their place does not seem assured. Exchange computer facilities are resilient: is that true of on-exchange liquidity itself?
Moderator: Robert Greifeld, Chief Executive Officer, NASDAQ OMX
Joseph Gawronski, President/COO, Rosenblatt Securities
Thomas Kloet, Chief Executive Officer, TMX Group
Atsushi Saito, President and CEO, Tokyo Stock Exchange
Panel 4 – Global reporting standards for global markets
Financial reporting standard-setters have the opportunity – and the obligation - to influence the changes that are underway to restore the financial markets to full health and renewed confidence. 
At the end of 2009, there were 45,358 issuers of equity securities listed and traded on WFE member exchanges: what can be done to improve the quality of reporting on their businesses, enlarge the reporting for reasons of social responsibility and environmental costs, and at the same time do all this in a cost-efficient manner.
The users of capital markets require better financial disclosures, if not more, and they wish to be using them for less money. The obligations of being a public listed company can be onerous. How can this be achieved while enhancing global standards? How can cross-border regulatory arbitrage in the area of information disclosure be avoided in this period of market reforms? 
WFE members stand by their longstanding public endorsements of the IASB’s IFRS for accounting standards, and ISAs, the international standards for audit prepared by IFAC. Exchanges have a natural interest in the development of these standards, which support the growth of global capital markets.
Moderator and presenter:  Michel Prada, Chairman, International Valuation Standards Council
Arnold Schilder, Chairman of the International Auditing and Assurance Standards Board
Philippe Danjou, Member of the International Accounting Standards Board
Speech by Michel Barnier, Commissioner for Internal Markets and Services, European Commission
Luncheon speech by Mr. Vivien Lévy Garboua, Chairman of the Paris Europlace Steering Committee
Presentation of the WFE Award for Excellence to Bengt Ryden, former WFE Chairman and Chief Executive Officer of Stockholmsborsen
Panel 5 – Fixed-income markets & transparency
Earlier in 2010, the Johannesburg Stock Exchange conducted a survey of the Federation’s member exchanges’ involvement in fixed income markets. This followed comments from institutional investors that liquidity in these markets had been severely impacted since the credit crunch began in 2007, and has not fully recovered.
The Johannesburg Stock Exchange will present this report. The panel will review the challenges facing exchanges that promote more transparent trading of fixed income products, such as finding the right incentives for intermediaries to participate and educating regulators, public officials and investor groups on the fairness and efficiency of the exchange proposition.
Moderator: Russell Loubser, Chief Executive Officer, Johannesburg Stock Exchange
Juan Pablo Cordoba, Presidente, Bolsa de Valores de Colombia
Paul-Henri de la Porte du Theil, President, Association Française de Gestion Financière
Ester Levanon, CEO, Tel Aviv Stock Exchange
Panel 6 – Local exchanges, global markets
This panel looks at the way that national exchanges have been able to develop beyond the limits of the domestic market, and how they establish their brands with investors abroad. 
What strategies have exchanges pursued to overcome local macroeconomic hurdles in order to promote their capital markets? Can shared infrastructure, outsourced technology and cross- border products improve liquidity and lower fixed costs?  Are there other ways to keep building the marketplace as an independent actor? What are the priorities and possibilities for those managers whose careful assessments lead them to choose stand-alone development?
Moderator: Khaled Serry Siam, Chairman, The Egyptian Exchange
Deirdre Somers, Chief Executive, Irish Stock Exchange
Bente A. Landsnes, President & CEO, Oslo Bors
Ito Warsito, President Director / CEO, Indonesia Stock Exchange
Panel 7 – Exchanges advancing environmental, social and governance (ESG) work
OECD Secretary General Angel Gurria will open this session with an address on the new “Proprietary, Integrity and Transparency Standards” his organization has been developing. WFE members publicly endorsed the OECD’s Principles of Corporate Governance; OECD wishes to go forward with exchanges to improve the enterprise investment model.
Secretary General Gurria will join the other speakers to develop a broad update on the state of ESG questions: the objective panel is to outline the business case for exchanges’ involvement in “non-financial” issues such as listed companies’ environmental, social and governance (ESG) policies. What do investors think this is worth? 
A recent WFE survey revealed that more products and services intended to stimulate this evolving corporate model have been launched on exchanges around the world. What incentives are needed for market participants to provide more investment capital and trading liquidity? How can governments increase ESG awareness for investors and public companies? 
Moderator and presenter: Michel Maquil, President & Chief Executive Officer, Luxembourg Stock Exchange
Angel Gurria, Secretary General, OECD
Christianna Wood, Chairman, International Corporate Governance Network
Edemir Pinto, Chief Executive Officer, BM&FBOVESPA
Conclusion WFE Chairman William J. Brodsky, Chairman & Chief Executive Officer, Chicago Board Options Exchange