October 27th, 2011
Econintersect: The Nasdaq OMX Group plans to set up a European derivatives trading platform based in London. (Financial Times) The exchange would compete with the Eurex derivatives exchange operated by Deutsche Borse. This move could come at a good time for Deutsche Borse which is in late stages of the review of competitive impacts of the merger of Deutsche Borse with NYSE Euronext. Whether Nasdaq OMX can pull this off is an open question. Just one year ago it closed a European stock trading platform because of lack of business. Follow up:
Follow up:From the Financial Times:
The latest venture would offer trading in interest rate derivatives similar to existing contracts offered on NYSE Liffe, the futures arm of NYSE Euronext.
The contracts would be cleared through LCH.Clearnet, the London-based clearing house that is in exclusive negotiations with the LSE over a possible acquisition by the British bourse.
The new Nasdaq derivatives platform would use an existing licence acquired by Nasdaq OMX Europe when it was originally established as a “multilateral trading facility” (MTF).
Sources: Financial Times