This week in the parish of bourses and market structure. Charles Li leaves Hong Kong exchanges as TP ICAP pursues a dire deal, which leads to a TPI-CollAPse in the stock price.
Tokyo systems are down and Australia is arguing about CHESS replacement. Once again, it's been a busy week for the world's market structures.
My name is Patrick L. Young. Welcome to the bourse business weekly digest: It's the Exchange Invest Weekly Podcast.
Good day, ladies and gentlemen, this is a very brief reduction of highlights amongst the key headlines from the week in market structure... and what a bumper week It has been! All the analysis of the week’s many events and happenings can be found in Exchange Invest’s daily subscriber newsletter, the unique guide to the bourse' business sent daily to your inbox. More details: And for a free trial subscription, go to ExchangeInvest.comm
LCH got their oar in this week: “forced relocation of Euro clearing would backfire”Dan Maguire the CEO of LCH doubtless finds it a chore to have to roll out this continuous dose of common sense to remind those who find Fisher Price, activity, toys, an endless source of wonderment - People like MEPs., journalists, that sort of person. The LSE’s CCP hold on Euro denominated swaps isn't going anywhere so long as there are other competing currencies alongside the beleaguered common currency of various EU nations. However, it's an essential job that Dan McGuire is performing: He must keep messaging common sense, which is in such short supply around the political sphere. And let's not get onto what passes for media nowadays.
Meanwhile in Australia, it's a bun fight over at the G street Corral. The gloves are off on George Street between the user group and the ASX itself over the replacement for CHESS, the settlement system, which of course has been hugely delayed and is now vastly over budget. There was a remarkable announcement by the ASIC regulators this week, and the reserve bank of Australia, laying out their expectations of a prompt installation to a suitably high standard that ought to befit the Antipodes largest financial center. Meanwhile at the E, hundreds of words in Exchange Invest this past week about CMU - that's Capital Markets Union just in case you've been asleep for the last decade - As once again, the European Union is threatening to talk about it. Doing something appears extra to the point where even bodies within the EU who believe in the lumpen fiasco of the Brussels blob, we're getting, see FESE in the parish, the Better Finance for the broader investor community, were amongst them.
If you want the whole story subscribe to Exchange Invest. If you want the surmise of a near decade of the European, Union's sad tale of the Capital Markets Union, it can be summarized in five words:
yada yada, yada, delivering nada.
One set of results this week. Good numbers from IHS Markit, impressive all round for the third quarter 2020 there.
However, it was in deals that we had, well, some excitement, even if it was weird excitement, perverse excitement, frankly, just an absolutely dismal deal in the making! TP ICAP, they provoked their stock into becoming TPI-collapsed, losing 15%, which leaves them down, well, a pretty awful 45% on the year.
So far, as they are in talks to buy the completely uncorrelated and irrelevant to the TP ICAP business, dark pool Stock operator Liquidnet.
Surely when placing the current management situation and perspective of a possible M&A transacti...
