Several leading investment banks along with hedge fund giant Citadel announced on Dec. 21 that they will launch a fully electronic futures exchange to compete with CME Group. The first product will be U.S. Treasury futures scheduled to be launched sometime in 2008 according to a release. The founding firms include investment banks Bank of America, Barclays, Citigroup, Credit Suisse, Deutsche Bank, JPMorgan, Merrill Lynch, The Royal Bank of Scotland, hedge fund Citadel and trading firms Getco Ltd. and Peak6. Each firm will take a significant equity ownership stake in the new exchange. eSpeed will be the technology provider for the new exchange, and Paul Saltzman, eSpeed’s current chief operating officer, will serve as its acting chief executive officer until top management positions are filled. On Monday, Dec. 24, shares of CME Group opened $16.75 lower following the late Friday announcement.
Featured Topics
-
Financials
CME Group annual meeting: A little taxing
Of more concern to those shareholders interested in the business at hand was CME's stagnant share price and its reaction to the MF Global bankruptcy
-
ETFs
ProShares launches ETF that targets highly rated corporate bonds
The ETF invests in covered bonds, a type of collateralized corporate debt typically issued by non-U.S. financial institutions.
-
Forex
Euro falls to 22-month low as German business confidence slides
The euro traded close to the weakest level since July 2010 versus the dollar as German business confidence slid and manufacturing shrank, stoking concern fallout from the debt crisis is spreading.
-
Options
Crude options volatility rises as futures near $90 a barrel
Crude-oil options volatility rose for the first time in three days as underlying futures slipped below $90 a barrel.
-
Sponsored by
-
Sponsored by
-
Sponsored by
-
Sponsored by
