Securities Industry News articles from July 2004

Securities Industry News archives from July 2004

He Said, She Said: Mutual fund, hedge fund trade groups trade barbs over regulation of the buy-side.(The Managed Funds Association)
July 12, 2004... A new front has broken out in the war over fund regulation: mutual funds and hedge funds are attacking each other over who needs what kind of regulation the most. The first shot came in mid-June, in a speech at the National Press Club by...

Fast Quotes in the Fast Lane.
July 12, 2004... Judging from the slew of comments on the Securities and Exchange Commission's proposed Regulation NMS reform, an industry consensus is forming toward letting electronic or "fast" quotes trade through manual or "slow" quotes. If adopted,...

All Votes Count...and Count.
July 12, 2004... In this election year, transfer agents are conducting a campaign of their own to resolve what some say is a common industry problem: "over-voting", a process whereby financial intermediaries cast more votes than shares held in their name by...

Nothing Lite' About Funds.(Securities Industry News)(Editorial)
July 12, 2004... The rumblings about the registration of hedge funds have certainly grown louder in recent weeks, with numerous sources telling us that the Securities and Exchange Commission will soon float a plan to bring the currently unregulated investment...

Escaping the Parallel Universe of Paper Certificates.
July 12, 2004... You may think that parallel universes are nothing but science fiction. But we know better in the securities industry. We work in parallel universes all the time. In one universe, we're in a world of high technology with paperless trading...

Will the Medicine Kill the Patient?
July 12, 2004... History provides perspective and lessons. Reflecting on the history of medicine, we now know that many of the so-called cures for illnesses, in fact, further weakened, poisoned or killed patients. In the 1700s, bloodletting and administering...

Comments: Missing Piece of SEC Puzzle.(The Securities and Exchange Commission)
July 12, 2004... The Securities and Exchange Commission's new Web site, where it intends to publish the countless comment letters that it sends out to industry participants, could help provide a more complete picture of the regulatory body. Central to the...

IRS to Audit Custodians on Tax Issues.(Internal Revenue Service)(Custodian Banks )
July 12, 2004... The U.S. Internal Revenue Service will audit about a dozen U.S. custodian banks within the next 30 days to uncover potential errors in complying with documentation, withholding and reporting rules for foreigners investing in U.S. securities, as...

Inet to Launch Pricing Pilot for Five Big Board Stocks.
July 12, 2004... In a move possibly motivated by the New York Stock Exchange's plan to go hybrid, the dominant Inet ATS will introduce a new pricing structure on a pilot basis to trade five NYSE stocks starting Aug. 2. The new fees, which will apply to...

Depositories Focus on Funds.(Folkeboersen)(European Transaction Bank)
July 12, 2004... While harmonization of the EUR5 trillion European investment funds market remains a long way off, announcements by Euroclear Bank and Clearstream Banking Luxembourg at a conference in Monaco last week indicate that the international...

Question of Momentum.(Florida Federation of Young Republicans)
July 12, 2004... Laurie Pizzo, Hernando County chapter president of the Florida Federation of Young Republicans, did not mince her words when she asked Securities and Exchange Commission Chairman William Donaldson to get rid of the trade-through rule. "If...

Buy-Side Play a Win for SwapsWire, Mart?
July 12, 2004... The participation of buy-side firms on Swaps- Wire's platform, announced last week, not only boosts the prospects of the trade confirmation platform for over-the-counter derivatives, but it might also be a sign of broader interest in these...

On The Record.
July 12, 2004... "This is not simply a case about someone sitting at the top of a corrupt and fraudulent organization. Mr. Lay is being charged not for where he sat, but for what he did." -Linda Chatman Thomsen, deputy director of the division of enforcement...

Vol XVI, Number 26Hedge Fund Regulation: Could It Be Derailed?(Industry Overview)
July 26, 2004... When the SEC voted in favor of hedge fund regulation on July 14, many experts assumed that the proposal was a done deal. "It is expected to be approved this fall," The New York Times declared the next day. The 3-2 vote, with Republican SEC...

Trade-Through Battle in Senate.(Securities and Exchange Commission's proposed regulation NMS reform)
July 26, 2004... The market structure debate moved to the Senate Banking Committee last week, with the main industry participants not any closer to reaching a consensus than they were nearly a year ago at the same venue. Nasdaq President Bob Greifeld and...

NYSE's Hybrid Plan Boosts IT.(New York Stock Exchange)
July 26, 2004... The New York Stock Exchange's plan to go hybrid, which would likely create the world's largest ECN-type venue, is forcing major Wall Street desks to boost their algorithmic trading offering or risk falling behind IT-savvy competitors. ...

Certainties and Uncertainties.(economic forecasts)
July 26, 2004... As we approach August, there's still lots of warm weather, long days and pennant-race baseball remaining before it's time to give ourselves over to the heavy post-Labor Day workload. However, even those of us lucky enough to take full advantage...

Time to Change the Offshore Outsourcing' Moniker.(offshore controversy analysis)
July 26, 2004... Amid the political and popular resistance brewing against offshore outsourcing, has it occurred to you that the name itself might be inviting some of the trouble? That pesky word "offshore" is a powerful magnet for naysayers, a lightening rod...

Accidents Waiting to Happen.(effectiveness of stock market regulations)
July 26, 2004... Question: Will the current regulatory and compliance impetus forestall future catastrophes resulting from fraud and/or crises in market confidence? Answer: No. Humans systematically and habitually deviate from the choices that economic...

Citi Settles with NYC Over Lending Loss.(Citigroup Inc., New York City's five public pension funds)
July 26, 2004... Citigroup has agree to cough up an initial $15 million to reimburse New York City's five public pension funds for loses in their securities lending program administered by the global custodian bank, and is on the hook for an additional $30...

NAB Recommends BNY for U.K. Clients.(National Australia Bank, Bank of New York)
July 26, 2004... Citing market consolidation and increased price competition, National Australia Bank's National Custodian Services said it will transfer its U.K. clients to the Bank of New York, resulting in the loss of 140 jobs. Financial terms of the...

Asynchronous Replication on the Rise.(data storage and retrieval systems, financial services sector)
July 26, 2004... Asychronous data replication has played a big role in several recent long-distance relocations involving some of the nation's largest financial institutions. Run concurrently with synchronous backup facilities, which are located much...

Basel II Draws Attention to CDS Risk Management.(financial services regulations, credit derivatives)
July 26, 2004... While the Basel II Accord's efforts at improving how financial firms calculate credit and operational risk seem to have won the praises of many market players, concerns about how credit derivative contracts are tackled continue to plague the...

Forex Platforms Perform Double Duty.(Foreign Exchange management system, manual processing risks elimination, regulatory climate adaptation, FXConnect launch)
July 26, 2004... Risk management and compliance are both possible Automated foreign exchange platforms have been increasing their capacity to kill two birds with one stone: not only are they reducing trade risk by removing manual processing, but they are...

CSFB On the Move in Trading Connectivity Arena.(Credit Suisse First Boston)
July 26, 2004... Credit Suisse First Boston's investment earlier this month in Upstream Technologies LLC, a provider of investment management technology to asset managers, highlights the financial services giant's increasing focus on the trading connectivity...

On The Record.(Nasdaq Stock Market Inc.)
July 26, 2004... "The exchange and Mr. [NYSE Chairman John] Reed must be held accountable for their shameful conduct and the injury that they have caused Mr.Grasso." -Court papers filed last week on Richard Grasso's behalf. The former NYSE chairman is seeking...