NO 248 – OCTOBER 2013

WFE Focus
New services

BME launches new fixed-income alternative market

On 7 October 2013, BME launched the Mercado Alternativo de Renta Fija or MARF, a complementary and alternative channel for medium and small enterprises. The objective of the new market is to help these enterprises tap the pool of savings of institutional investors with adjusted costs. MARF is a Multilateral Trading Facility (MTF) geared to institutional investors. The market is managed by AIAF, BME’s Corporate Debt market, and relies on the work of two major participants: the Members, which are financial firms and investment services institutions authorized to trade on their behalf and on behalf of others; the Registered Advisers, which are legal persons who advise companies on issuing shares and help them to deal with the periodic documentation and information required by the Market.

CME Group applies to be registered as swap execution facility

CME Group has filed an application to be registered as a Swap Execution Facility with the Commodity Futures Trading Commission. CME Group’s Swap Execution Facility will be available over CME Direct, an online trade management platform. CME Group will initially focus on commodity products, and will look to develop additional markets over time with the industry.

Deutsche Börse introduces new cloud-based service to deliver historical market data

Deutsche Börse has introduced a new cloud-based service for the delivery of historical market data. The new service, “Data on Demand,” grants clients direct access via internet to a high performance database of historical trade data from trading venues Xetra and Eurex, as well as Deutsche Börse index data. Data on Demand will reduce the latency time for obtaining data as well as infrastructure costs for the storage of large data volume. The data offering contains historical order book and tick data, price time series, closing prices and VWAP. The offering will be extended in the future to include exclusive trading signals and key analytical data.

IntercontinentalExchange launches ICE Swap Trade

IntercontinentalExchange has launched ICE Swap Trade, ICE’s CFTC-registered Swap Execution Facility (SEF) with trading activity in many different products in the energy and credit default swap markets.


IntercontinentalExchange completes ICE Endex futures markets transition

On 7 October 2013, IntercontinentalExchange completed the trading and clearing transition for the ICE Endex futures markets to the ICE trading platform and ICE’s European clearing house, ICE Clear Europe. ICE Endex European natural gas and power futures and options contracts now trade on ICE’s front end trading screen, WebICE, alongside ICE’s portfolio of 800 energy contracts.

London Stock Exchange derivatives market goes live

The London Stock Exchange has completed its acquisition of Turquoise Derivatives, the derivatives business of Turquoise Global Holdings. The platform has been renamed London Stock Exchange Derivatives Market. The market now operates as part of a regulated market of a Recognized Investment Exchange (RIE), allowing customers to improve the efficiency of their clearing and margin arrangements in light of the requirements under the European Market Infrastructure Regulation (EMIR). On 7 October 2013 a new contract, the FTSE UK Large Cap Super Liquid index futures, was launched to trade on the new platform. The new derivatives market will continue to offer trading in a range of UK, Russian and Norwegian equity derivatives.

Moscow Exchange improves transaction charge calculation

On 21 October 2013, Moscow Exchange changed the calculation procedure for the surcharge for ineffective transactions and imposed a new charge for erroneous transactions across its SPECTRA trading and clearing platform. The aim is to optimize HFT activity and increase the productive load on the trading system.

NASDAQ OMX launches iPad app for workspace virtual data room

The NASDAQ OMX Group has launched a new WorkSpace application for iPad available and accessible for download. The app is designed to create a secure, streamlined business and document management process while improving productivity for users.

NASDAQ OMX introduces trading in actively-managed funds in Nordic countries

NASDAQ OMX has introduced trading in actively-managed ETFs in Sweden and Finland. Actively-managed ETF is a new type of product in the Nordic countries and aims for greater return on investment through active management, compared to passively-managed ETFs which track a predefined index.

NYSE Euronext Lisbon signs partnership to attract new companies

NYSE Euronext Lisbon and the Associação Têxtil e Vestuário de Portugal (the Portuguese Association of Textiles and Clothing) have signed a cooperation agreement with the aim of encouraging and supporting the listing of new companies on the Exchange. The partnership is part of a broader strategy to leverage the capital markets in Portugal and consequently encourage new companies to list their shares on NYSE Euronext’s markets. Companies connected to the textiles and clothing sector that are interested in the simplified routes to obtaining financing, diversifying their shareholder structure and trading securitized debt will benefit from this agreement.

Stock Exchange of Thailand to add construction services sector

Effective 2 January 2014, the Stock Exchange of Thailand will launch a new sector called “Construction Services”. In addition, it will also include real estate investment trust (REIT) in the “Property Fund” sector and, accordingly, rename the sector to be “Property Funds & REIT”, enabling investors to analyze and compare information of each company more accurately.

Vienna Stock Exchange to discontinue derivatives trading

As of March 2014, the Vienna Stock Exchange will no longer offer trading in derivatives. The Vienna Stock Exchange reached the decision to discontinue trading in derivative market products for economic reasons. Options and futures on Austrian stocks have been traded since 2006 on the Eurex Exchange.

Vienna Stock Exchange launches segment for corporate bonds

The Vienna Stock Exchange is enlarging its market for corporate bonds and will operate a new segment, corporates prime, as of 31 September 2013. This new premium segment for bonds is designed to enhance transparency as issuers agree to comply with more stringent reporting requirements. Furthermore, the new segment will only include bonds that meet certain criteria: the placement needs to be accompanied by a listing prospectus, the bond denomination cannot exceed EUR 10,000 and the minimum issuing volume is EUR 5 m.

Vienna Stock Exchange adds German automotive industry client to its data vending users

In its strategy to expand data vending activities in a new direction, the Vienna Stock Exchange accomplished a major achievement by adding the BMW Group to its customer base. BMW drivers may start using the BMW ConnectedDrive Services to track the trends of the leading indices ATX (Austria) and PX (Czech Rep.) and also the stock prices of the listed companies directly in their car via BMW Online. BMW drivers may also create their own personal watchlists.