On 21st July 2010, Korea Exchange’s proposal on new ‘Auction-based Block Trading Service (hereinafter “A-Blox”)’ for its Securities markets (KOSPI Market & Kosdaq Market) has been approved by Financial Services Commission. Key functions of this new service will be anonymous liquidity pool and VWAP transaction mechanism which are designed to accommodate large lot trading demands in the market. After having system implementation and market notification period, the new rules on ‘A-Blox’ will become effective as of 29th November 2010.
Exchanges across the globe saw the value of their indexes drop an average of 11.5% in USD terms in the first six months of the year, according to figures released from the World Federation of Exchanges (WFE).
The London Stock Exchange announces a pricing promotion to incentivise private client brokers to offer customers the ability to direct their business straight onto the Exchange's order books. It is the latest in a series of measures designed to encourage the introduction of services which allow private investors to participate more directly in its markets.
BM&FBOVESPA has announced that as of August 2, 2010 the round lot for index funds or ETFs (Exchange Traded Funds) will be reduced from 100 units to 10 units, which means that the minimum value needed to invest in this product will be ten times less than it was. For example, a round lot for the ETF BOVA11, which mirrors the Bovespa Index, based on its closing price on July 19, would be reduced from BRL6,280.00 to BRL628.00. The objective of this round lot reduction is to increase the trading potential of these funds especially for individual investors.
The International Securities Exchange (ISE) announced that it has introduced Do Not Route (DNR) orders for both priority and professional customers. This new order type allows ISE’s customers to indicate that they want to cancel their options orders rather than have them routed to another exchange if the National Best Bid or Offer (NBBO) is not posted at ISE.
Bursa Malaysia Berhad (Bursa Malaysia) registered a profit of RM55.5 million for the half year ended 30 June 2010, a 10% increase compared to the profit of RM50.5 million for the corresponding period last year.
The Johannesburg Stock Exchange’s Equity Derivatives market recently introduced the Maker Taker model of transaction charges in a billing model. The new model is designed to give liquidity providers an incentive to trade.
The Johannesburg Stock Exchange (JSE) recently listed the SAVI Squared contract, which is a variance futures contract that obligates the holder to buy to buy or sell variance at a predetermined variance strike at a specified future time.
The JSE and UK–based Ethical Investment Research Services (EIRIS) announced the appointment of local research partner the University of Stellenbosch Business School to conduct the company analysis for the 2010 JSE Socially Responsible Investment Index.
NYSE Euronext (NYX), the global leader in listings with more than 4,500 issuers on its U.S. and European markets has launched a new London-based securities market, ‘NYSE Euronext London’, aimed at attracting international issuers looking to list in London. NYSE Euronext London is complementary to NYSE Euronext’s other European securities markets and will enhance the visibility and prominence of its Continental Europe listing and trading venues.