Julian O’Leary joins G. H. Financials as Managing Director of Development & Technology
G. H. Financials has confirmed that Julian O’Leary is joining the firm as Managing Director of Development & Technology. Julian joins G. H. Financials’ executive management team and will report to Group CEO, Mark Ibbotson. He will also lead G. H. Financials’ technology and execution broking teams globally.
**JK: Ibbotson building his team.
Harvard Economist Kenneth Rogoff Is Trying to Kill Cash
Peter Coy – Bloomberg
Kenneth Rogoff has an interesting résumé: international grandmaster of chess, former chief economist of the International Monetary Fund, professor at Harvard University. And he is now—unofficially—the No. 1 enemy of cash. “I’ll admit, it’s a very quirky topic,” Rogoff said at a press lunch on Tuesday put together by the publisher of his new book, The Curse of Cash. But he insists that a country without most cash is an idea whose time has come.
**JK: He must be as annoyed as I am, trying to figure out which is the £1, £2 and all the pence coins in England.
Americans Drive to a New Record in Gasoline Consumption
Eric Morath – WSJ
Americans fueled up this summer at levels not seen since the recession began almost nine years ago, new data shows. But before you raise your Icee in salute to the U.S. economy, consider this: Nine years is a stunningly long road to recovery in gasoline consumption for an economy that replaced all the jobs and output lost during the deep recession several years ago.
**JK: Who ever thought we’d see sub-$2 a gallon gasoline again?
These are the 9 best banks to work for on Wall Street
Rachel Butt – Business Insider
There has been big shift on Wall Street.
Vault.com just released its annual ranking of the best banks to work for, examining factors like culture, satisfaction, work/life balance, training, compensation and overall prestige.
**JK: Goldman wins for things like, interns can’t work past midnight. Wow. Just wow.
|Demystifying High Frequency Trading
Please join CAIA Chicago and Optiver
In this talk we present a sober, but honest view of High Frequency Trading and shed some light on the use of a computer technology in trading.
5:00pm – Snacks, Drinks, and Networking
Event Fee – $15.00 USD
Obama on Climate Change: The Trends Are ‘Terrifying’
Seventy-four years ago, a naval battle off this remote spit of land in the middle of the Pacific Ocean changed the course of World War II. Last week, President Obama flew here to swim with Hawaiian monk seals and draw attention to a quieter war — one he has waged against rising seas, freakish storms, deadly droughts and other symptoms of a planet choking on its own fumes.
**JK: This will be the defining challenge of our generation and the next.
***JB: A few days ago the New York Times had an article on Rolling Coal where people intentionally rig their trucks to belch as much pollution as possible (which they like to do on cyclists and people driving electric cars). Apparently some people really are not getting the message.
Poker For Kids
Futures For Kids is holding its annual Poker Tournament in an effort to find out which of its supporters has the best poker face and help us raise funds for the fantastic charities that it supports.
The are several ways you can help us in making this a successful evening, from sponsoring a table, or donating a prize, to simply taking a place and playing. Fees range from £80 for a single player and from just £400 – £2500 for a variety of sponsorships. Great value for a fantastic entertainment/networking opportunity like this.
FFK Poker Night | No Limit Texas Holdem
Wednesday 12 October 2016
Crypt on the Green | Clerkenwell, London
Wednesday’s Top Three
Wondering about the future of the finance industry? Yesterday’s top story, Goldman Sachs asked all its interns about their habits, hopes, and dreams — here are their answers is a glimpse at what the next generation is interested in. The second most popular story was not really a story but rather people having a peek at our newly re-designed website. We worked hard on it, hope you like it. Last for yesterday was the attention grabbing headline, ‘Flipping the Bird’ at Regulators Is Tempting but Seldom Done in Financial Regulation
Exclusive: ‘Flash Boys’ protagonists aiming new exchange at gold
John McCrank – Reuters
IEX Group, which rose to prominence with its bid to shake up stock trading in the United States, now aims to do the same in the more than $5 trillion-a-year gold market with a new exchange being created by its spinoff TradeWind Markets, a board member of the new venture said on Tuesday.
BSE to file IPO papers with Sebi
Business Standard News
Gearing up to launch its Rs 1,000-crore initial public offering, Asia’s oldest bourse, BSE, will soon approach the Sebi to file draft prospectus for the issue. A board meeting was held in Mumbai on Wednesday to review the progress on the IPO plans and to discuss the draft red herring prospectus, which could be filed with Sebi in a few days, sources said.
CFTC Financial Data For Futures Commission Merchants Update
Futures commission merchants (FCMs) and retail foreign exchange dealers (RFEDs) must file monthly financial reports with the CFTC’s Division of Swap Dealer and Intermediary Oversight (DSIO) within 17 business days after the end of the month. Selected financial information from these reports is published below. The most recent month-end information generally is added within 12 business days after FCMs and RFEDs file their reports, but occasionally may be added later. For example: The 17th business day filing “due date” for February 28, 2015 financial reports was March 25, 2015. The 12 business day target for posting these data was April 10, 2015.
CTA performance dips in August, says Societe Generale Prime Services
The latest performance data for Societe General Prime Services CTA Indices shows that August was a difficult month for CTA strategies, with all managed futures indices in the red and 19 out of the 20 CTA Index constituent strategies ending August negatively.
The SG Short-Term Traders Index produced the lowest returns in August at -3.41 per cent despite remaining the strongest performing of the managed futures indices year to date. The flagship CTA index was also still in solidly positive territory year to date.
ICE to promote Lepart to European clearing COO
Luke Jeffs – FOW
US exchange is to promote Lepart to COO of ICE Clear Europe in November
The Intercontinental Exchange is to promote the operations head at its European clearing house to the position of chief operating officer at ICE Clear Europe, replacing its founding COO who is retiring from the firm. ICE Clear Europe is set to appoint Francois Lepart, currently its head of operations, as its London-based chief operating officer in November, replacing long-standing COO Mike Gibson, who is retiring from the European clearing arm of the US exchange group at the end of the year, as reported by FOW.
Review — Nick Leeson’s lessons come with a risk warning
Thomas Hale – Financial Times
“There’s a risk warning that we must give at the beginning of this webinar,” my instructor declares. White text appears on the screen against a red background, pointing out that trading in financial markets can result in large potential gains but also losses. “I’ll read that out to you but I think my name comes with a risk warning anyway.” My instructor’s name is Nick Leeson, and his losses as a trader more than two decades ago totalled £827m. In the mid-1990s, while working in Singapore, he almost single-handedly brought down Barings Bank, a venerable icon of the British financial establishment for more than two centuries.
August 2016 Swaps Review
Amir Khwaja – Clarus Financial Technology
Continuing with our monthly review series, let’s take a look at Interest Rate Swap volumes in August 2016.
Biggest Oil Traders See Another Year of Pain as Glut Endures
Javier Blas – Bloomberg
The largest oil traders are anticipating little relief to what has become the worst market slump in a generation. QUICKTAKE Oil Prices All but one of 15 senior oil traders and executives interviewed this week at the annual Asia-Pacific Petroleum Conference in Singapore expect crude to remain between $40 and $60 a barrel over the next 12 months. Brent crude has traded in that range for the past five months.
Apache’s Big Discovery Isn’t Even OPEC’s Biggest Problem
Apache did something old-fashioned on Wednesday that oil investors love: It said it had found more oil — a lot more: 3 billion barrels. It has apparently also stumbled upon 75 trillion cubic feet of gas.The stock duly jumped, though investors shouldn’t take those numbers at face value. Initial estimates of a field’s potential usually err on the side of crazily optimistic. Rival Hess enjoyed a fillip in late June when it announced a big discovery off the coast of Guyana. On Tuesday, its stock slipped by 3.5 percent after it announced “disappointing” results from an exploration well there.
California Fights to Save Market Plan to Cut Carbon Emissions
In 2012, when California began its cap-and-trade program, it was hailed as a model for the rest of the world. While Congress had failed to pass a similar system two years earlier, California was going to demonstrate how a large, industrialized economy could cut greenhouse gases while also raising billions of dollars for clean energy projects. The idea was fairly straightforward: By forcing oil refiners, power plants, and factories to buy permits to emit greenhouse gases and then gradually shrinking the supply of those permits, the state could steadily raise the cost of carbon dioxide pollution and compel businesses to lower their carbon footprint.
Exchanges, OTC and Clearing
Eris Opens London Office And Announces Significant Sales And Marketing Expansion
Eris Exchange (Eris), a U.S.-based futures exchange group offering cash-settled swap futures as the leading alternative to traditional OTC swaps, announced the opening of a London office and the hiring of Timothy Stack as Managing Director, Head of Europe. Mr. Stack will be based in London and will be responsible for sales, marketing and strategic partnerships in Europe. Prior to joining Eris, Mr. Stack worked for more than two decades at Barclays Investment Bank, where he most recently was Head of Agency Derivative Services, and was responsible for the global futures, OTC clearing and FX prime brokerage businesses. Previously, Mr. Stack also served as a board member of the Futures Industry Association.
CME Group Recognized as Central Counterparty in Mexico
CME Group, the world’s leading and most diverse derivatives marketplace, today announced that Chicago Mercantile Exchange Inc. obtained full recognition as a foreign central counterparty (CCP) in Mexico from the Banco de México, effective September 2, 2016. Since April 2016, the clearing house division of CME Group, CME Clearing, had operated under temporary recognition pending finalization of a memorandum of understanding (MOU) between the Commodity Futures Trading Commission, Banco de México and the Comisión Nacional Bancaria y de Valores (CNBV).
CBOE Vest Launches CBOE Vest S&P 500 Buffer Protect Strategy Fund (BUIGX)
CBOE Vest Financial, an investment manager focused on target outcome investment strategies, on August 25 launched the CBOE Vest S&P 500 Buffer Protect Strategy Fund (BUIGX), the first mutual fund designed to provide investors with index-based buffer protection.
ASX Extends Depository Services To Renminbi-Denominated
ASX today announces that it has launched a renminbi (RMB) securities depository service. The new service extends the portfolio of RMB services developed by ASX in cooperation with the Bank of China Limited, Sydney Branch (Bank of China) for Australia’s financial markets.
Businesses Growing More Anxious as Elections Get Closer, Fed Survey Shows
Rich Miller – Bloomberg
Businesses are becoming more anxious about presidential elections set for November, according to the Federal Reserve’s latest anecdotal appraisal of the economy. Election worries were cited as a source of concern seven times in the central bank’s Beige Book release, a survey of business contacts published Wednesday in Washington. That’s up from two mentions in the July survey of business contacts by the Fed’s twelve districts and none in June.
Behind Closed Doors, Donald Trump’s Adviser Explains His Real Economic Plan
Christina Wilkie – Huffington Post
At a private meeting of conservatives in Cleveland this summer, Donald Trump’s senior economic adviser, Stephen Moore, said the candidate planned to pay for his costly proposals by eliminating the departments of Commerce, Energy and Education; lifting all restrictions on mining, drilling and fracking; ending Temporary Assistance for Needy Families programs, and offering rust-belt factory workers new jobs on oil rigs and steel mills.
Here’s Why It’s So Tricky to Understand ‘Economic Anxiety’
Sid Verma – Bloomberg
There’s an endless debate among political pundits about whether “economic anxiety” is a major driver of Donald Trump’s support or whether that’s merely a cover for other factors, such as race and anti-immigration sentiment. One problem with the discussion: economic anxiety is a nebulous concept that’s difficult to identify.
House to Vote on 9/11 Lawsuit Bill Opposed by Saudi Arabia
Billy House – Bloomberg
The U.S. House of Representatives plans to vote this week on Senate-passed legislation that would allow families of the Sept. 11 victims to sue Saudi Arabia for liability in the attacks.
Brexit means myriad trade-offs and tough choices
Chris Giles – Financial Times
Such is the complexity of the coming Brexit negotiations, it is understandable that Theresa May is still working on the details. Much less reasonable has been the prime minister’s efforts alongside those of her minister for exiting the EU, David Davis, to dismiss discussion of the choices ahead. Whenever questions address the economy, Mrs May says the outcome “will work for everyone”. Mr Davis ploughed the same furrow this week, saying his task was “to negotiate a deal for exiting the European Union that is in the interests of the entire nation”.
Investing and Trading
The Most Tranquil of Times
Fei Mei Chan – S&P Dow Jones Indices
In step with the July, global markets calmed further in August. Based on the dispersion-correlation map, which provides a framework through which we can assess market volatility, equities have entered a very tranquil environment.
A prescription for embattled active asset managers
The active investment industry continues to be mauled by a dead sheep. By two critical metrics — the amount of money they pull in from investors and their short-term investment performance — passive funds are belying their name by beating up active funds ferociously. On investment performance, large-cap US equity funds continue to have a historically bad year with only 15 per cent beating the Russell 1000 index for the year to the end of August, according to BofA Merrill Lynch.
Grantham’s Commodities Safety Dance
Andy Mukherjee and David Fickling – Bloomberg Gadfly
Just a few months ago, Jeremy Grantham was crying over spilled milk. Now he’s pouring himself another glass.Best known for catching the peak of the 1980s Japan mania, and for accurately calling a decade-long slide in U.S. stocks in 2000, the market maven had, by his own admission, completely missed the bubble in minerals. Worse, the chief investment strategist of GMO in Boston had in 2011 predicted a 10-year positive outlook for mining resources, which, as he conceded five years later, was a “major error.”
An Investment Only A Mother Can Love
Lucas White and Jeremy Grantham – GMO
Jeremy has written extensively about the long-term prospects for natural resources,1 but there are advantages to commodity investing beyond potential commodity price appreciation, including diversification and inflation protection. Resource equities are a great way to gain commodity exposure, while also accessing the equity risk premium. Given their somewhat hybrid nature, with one foot in the equity market and the other foot in the commodity market, resource equities display some unusual characteristics; over various timeframes, resource equities may move more with equities or more with commodities and can look more or less risky than the broad market.
Italian Corporate Bond Market Lags Behind Neighbors After Six Months of ECB Stimulus
Mike Bird – WSJ
Corporate bond yields have slumped across the eurozone since the European Central Bank announced that it would buy corporate debt six months ago. But some countries are benefiting less than others, underscoring how it will take more than just the ECB to corral the differing economic trajectories with the eurozone. Italian corporate bond yields, in particular, have lagged their peers. They’ve notched just half the drop recorded by corporate bonds in Spain, another southern European economy that has struggled economically since the global financial crisis.
All you need to know
The Reformed Broker
A spokesperson for one of the global investment banks selling structured products to the retail market accidentally tipped the firm’s hand to readers of the Wall Street Journal. Amidst an investigative article about $22 billion in “structured CDs” now being held by mostly unsophisticated households, comes this explanation: A Barclays spokesman said in a written statement the structured CDs market has “seen significant evolution over the last few years to meet the needs of clients, investors and distributors seeking to navigate the continued challenges of a low interest rate environment.”
Nintendo Coin Chase
Tim Culpan and David Fickling – Bloomberg Gadfly
You may have heard that something amazing is going on at Nintendo.The excitement is breathtaking and people can’t stop themselves from constantly checking their scores minute by minute. We’re talking less about the schoolkids and grandparents chasing fictional cartoon characters around their neighborhoods, and more about the hordes of traders and hedgies buying and selling the Japanese company’s shares
European Central Bank Leaves Rates Unchanged
Rates expected to remain ‘at the present level or lower’ for an extended period
By Todd Buell – The Wall Street Journal
The European Central Bank left all of its key interest rates unchanged on Thursday, holding off on shifting its main policy levers, even as inflation in the 19-country currency bloc remains stubbornly low. The ECB announced no changes to its asset purchase program in its regular rate call.
Carney leaves open chance of more UK rate cuts
Bank of England governor Mark Carney has left open the possibility of further cuts in UK interest rates this autumn despite acknowledging the risk of recession had receded in the past month. Mr Carney took credit for the bounce in August’s business and consumer surveys, telling MPs during a parliamentary hearing that part of the recovery in sentiment was “because the bank took timely, comprehensive and concrete action and that action has had an impact”.
Barclays says conducts first blockchain-based trade-finance deal
Jemima Kelly – Reuters
Barclays and an Israel-based start-up company have carried out what they say is the world’s first trade transaction using blockchain technology, cutting a process that normally takes between seven and 10 days to less than four hours.
Goldman Sachs Fixed-Income Sales Co-Head Cornacchia Departs
Tom Cornacchia, Goldman Sachs Group Inc.’s co-head of fixed-income sales, is leaving after 14 years as the Wall Street firm looks to reverse a multiyear slump in trading. John Willian, 53, global head of prime services, will succeed him and work with Jim Esposito, the New York-based bank said Wednesday in an internal memo signed by Isabelle Ealet, Pablo Salame and Ashok Varadhan, co-heads of the securities division. Business Insider reported the moves earlier Wednesday.
This Hedge Fund Made 2,100% From World’s Most Extreme Market Mania
Plenty of professional investors like to tout their talent for turning volatility into opportunity. Few have managed to deliver on that promise as well as Wang Bing. With deft timing and the magnifying power of leverage, the 37-year-old trader of Chinese commodity futures has navigated the most fevered speculative mania of 2016 to produce the kind of returns that only volatile markets can provide. Wang says his Guli Trend Aggressive Strategy fund has climbed about 750 percent this year, extending an advance since its March 2015 inception to 2,100 percent.
Head of BlackRock quasi-consulting arm to leave company -memo
The man who since 2008 has run BlackRock Inc’s quasi-consulting arm for governments, regulators and massive financial firms plans to leave the company next year, according to an internal memo. Craig Phillips is leaving “to consider a possible transition to the public sector,” according to the memo, which was seen by Reuters.
Larrain Vial Selects Catalys by Itiviti to Help Develop Latin American Markets
Itiviti, a world-leading technology provider for the capital markets industry, today announced that Larrain Vial, Chile’s premier brokerage house, has chosen the next generation FIX Engine, Catalys by Itiviti, to support their electronic execution needs.
Rival Systems Celebrates One-Year Anniversary
This week marks our one-year anniversary! In our first year we introduced four major products including Rival Trader, Rival API, Rival Risk and Rival Trainer. Our broad base of clients across equity options market makers, futures options market makers, algorithmic traders, and risk managers are leveraging our suite of products to take their business to the next level.
Deutsche Bank calls for reform of global financial messaging system SWIFT
Deutsche Bank (DBKGn.DE) is calling for a reform of SWIFT, the global financial messaging system which has faced criticism since February’s $81 million heist at Bangladesh Bank. Germany’s flagship lender – which the International Monetary Fund has branded as the world’s systemically most risky bank for its numerous links to other lenders – is one of the biggest users of SWIFT. It is one of the first large banks to publicly urge changes.
Developers Are Flocking to Blockchain Bootcamps
Olga Kharif – Bloomberg
A year ago, 27-year-old software developer Roy Breidi was dreaming of launching a startup related to the digital currency bitcoin. Problem was, he “didn’t really understand what’s the magic behind it.” So he took an online course called “Bitcoin and Cryptocurrency Technologies” from Coursera. It’s one of many workshops and bootcamps popping up to help people in all industries — especially software developers — get the hang of the blockchain, the technology underlying bitcoin, and parlay that knowledge into more exciting, and sometimes better-paying jobs.
Lime Brokerage and Vela Trading Technologies Announce Product Integration
Wedbush Press Release
Lime Brokerage (Lime), a Wedbush Company, and Vela Trading Technologies (Vela), a global leader in high performance trading and market data technology, are pleased to announce the integration of Lime’s Strategy Studio, its software solution for streamlined strategy research and deployment, and Vela’s market leading low latency direct feed handlers.
Beeks Unveils On-Demand Data Connectivity Purchasing Portal
Cloud infrastructure and low-latency services provider Beeks Financial Cloud has launched Beek Marketplace, a portal that allows traders to buy connectivity to exchanges, datafeeds, trading tools and news services. Beeks Marketplace allows real-time direct connectivity to more than 100 venues globally for a flat $50 connection fee on a month-by-month contract. “Most people have the old-school model, where you have to phone up a vendor, get a quote, order a server, get it delivered to the datacenter, get it racked and get it configured. Three to four weeks later they may be able to place a trade.
Have Uncleared Margin Rules Impacted Swap Activity?
Tod Skarecky – Clarus Financial Technology
We’re all aware that in the US, the new Uncleared Margin Rules (UMR) took effect on September 1st. Except they kinda didn’t take effect. There was this chestnut of No-Action relief issued by the CFTC on the day, which, if you just read the headline news reports, meant that the Rules were pushed back 1 month.
SEC Eyes Contempt for Wyly Estate’s Failure to Pay $101 Million
Reuters via NY Times
U.S. securities regulators said on Wednesday they want the executor of Charles Wyly’s estate held in contempt for failing to pay the $101.2 million owed as a result of the late Texas businessman’s fraud. In a letter filed in Manhattan federal court, the U.S. Securities and Exchange Commission said Donald Miller, Charles Wyly’s son-in-law, had taken no steps in his role as executor to pay the sum after being ordered to do so in February 2015.
CFTC Charges Fan Wang With Making False Reports In Connection With Commodity Futures Transactions
The U.S. Commodity Futures Trading Commission (CFTC) filed a civil injunctive enforcement action in the U.S. District Court for the Southern District of New York against Fan Wang a.k.a. Alex Wang (Wang), a Chinese national who resides in Short Hills, New Jersey. The CFTC’s Complaint charges Wang with willfully making false reports in connection with certain commodity futures contracts he purchased for his employer’s proprietary trading account.
SEC Names Sarah G. ten Siethoff Deputy Associate Director in the Division of Investment Management’s Rulemaking Office
The Securities and Exchange Commission today announced that Sarah G. ten Siethoff has been named Deputy Associate Director in the Division of Investment Management’s Rulemaking Office. As Deputy Associate Director, Ms. ten Siethoff will develop recommendations for rulemaking and other policy initiatives under the Investment Company and Investment Advisers Acts of 1940. Ms. ten Siethoff also will oversee management of key rulemaking projects related to funds and investment advisers.
Ontario Securities Commission Announces Seniors Expert Advisory Committee Members For 2016 – 2017
The Ontario Securities Commission (OSC) today announced the membership of its new Seniors Expert Advisory Committee (SEAC).
Reinventing Canadian Economy Could Take 15 Years: RBC CEO
Canada’s economy could take 15 years to reinvent itself after manufacturing and service industries began to shrink in the wake of the financial crisis, Royal Bank of Canada CEO David McKay said. Canada has seen a “fundamental restructuring”‘ of its export economy since losing more than 7,000 exporting companies to the U.S. when the country’s currency traded at par with the U.S. dollar following the financial crisis of 2008 and 2009, McKay, 52, said today in a television interview on Bloomberg TV Canada. Heavy manufacturing and service industries were lost, and haven’t come back, he said.
Duterte Outbursts Taking Toll as Philippine Stock Losses Mount
Ian Sayson – Bloomberg
Overseas investors pull most money in a year on Wednesday; President’s behavior could be disruptive: BDO Unibank
Losses in Philippine stocks are accelerating, with foreigners pulling more money from Asia’s most expensive market amid speculation the outbursts of President Rodrigo Duterte will have consequences that go beyond politics.
Hanjin Shipping’s Troubles Leave $14 Billion in Cargo Stranded at Sea
Costas Paris and Erica E. Phillips – WSJ
The financial woes of one of the world’s biggest shipping lines have left as much as $14 billion worth of cargo stranded at sea, sending its owners scurrying to try to recover their goods and get them to customers, according to industry executives, brokers and cargo owners. Since Hanjin Shipping Co. of South Korea filed for bankruptcy protection there last week, dozens of ships carrying more than half a million cargo containers have been denied access to ports around the world because of uncertainty about who would pay docking fees, container-storage and unloading bills. Some of those ships have been seized by the company’s creditors.
Cameroonian cocoa sector makes good strides in sustainable production
Over 9500 cocoa farmers in Cameroon have received more than EUR1.4 million (958million cfa) in premium payments – the largest ever certification premium payments made for sustainable cocoa in the country – under the Cargill Cocoa Promise. These payments directly reflect the growing appetite of customers for certified cocoa products and appreciation for the efforts undertaken by cocoa farmers in Cameroon to become more professional and achieve certification.
Gold trailer: Matthew McConaughey is a balding wolf of Wall Street in new film
After more than a decade away from film, Syriana writer/director Stephen Gaghan returns with a new film based on the Bre-X Mineral Corporation mining scandal and starring Matthew McConaughey as an avaricious gold prospector.
Maybe Supply-Side Economics Deserves a Second Look
Tyler Cowen – Bloomberg
Since the Great Recession, macroeconomic discussion has been dominated by discussions of aggregate demand, and how to create more of it through monetary and fiscal policies. That has led to a strange state of affairs where those topics still dominate the debate, even though they’ve done most of the job economics expects of them: The U.S. is fairly close to full employment and seeing continued positive momentum. Supposed remedies such as making interest rates negative, with the goal of accelerating monetary circulation, seem better suited to 2010 than 2016.