EXCHANGE NEWSWIRE 8/31
Knight Capital expressed support for NDAQ’s $62m proposal to compensate brokers affected by the technical glitch during Facebook’s market debut. However, Knight urged the SEC to defer opining on exchange liability limitations and/or regulatory immunity, Reuters reported.
Direct Edge will relocate its disaster recovery facilities to Equinix’s Chicago 4 (CH4) International Business Exchange (IBX) data center, Finextra reported.
BVC and Depósito Centralizado de Valores de Colombia DECEVAL S.A. signed an MOU to achieve a corporate integration of the two entities. This move was made to strengthen the competitive position of the Colombian capital market in a regional and international context, enhance its efficiency and optimize the value chain processes.
ISDA and FIA published their joint Cleared Derivatives Addendum, a template designed to supplement an agreement on derivatives between a FCM and its customer. The Addendum includes representations for certain clearing-related matters, such as the treatment of customer collateral, the close-out methodology for cleared OTC swaps, the triggers for liquidation, tax issues and provisions for valuing the terminated trades.
National Futures Association (NFA) ordered Berkeley Research Group to conduct an external forensic review of its auditing practices, after the collapse of Peregrine, the WSJ reported.
MiFID proposals aimed at curbing automated trading could negatively impact the region’s economy, a study commissioned by the British government, according to the Financial Times. The Foresight project, aimed at examining the effects of computerized trading on financial markets, showed evidence to support the economic benefits of some MiFID proposals such as circuit breakers, but showed that there was lesser evidence supporting forcing electronic market makers to make continuous quotes in markets.
SEC announced the agenda for its market technology roundtable on September 14. The roundtable will focus on operational stability and integrity of the securities markets and the ways that market participants manage complex and interconnected trading technologies.