John Lothian Newsletter: CME, ICE Clearinghouses Designated Systemic by U.S. Panel; Oslo Bors to charge for excessive orders; Euro Zone Crisis Boils as Leaders Fail to Signal New Steps

May 24, 2012

The clearinghouse operations for CME Group and IntercontinentalExchange are now said to be “systemically important” by regulators, bringing them closer to increased Dodd-Frank supervision.  Oslo Bors takes action against quote stuffers, and announces penalties for placing too many orders without enough accompanying dealmaking. Eurozone leaders fail to conclusively identify a useful salvation plan in recent meetings, rekindling fears of a messy and painful resolution to the region’s financial woes.

First Read

New and Improved JLN; Redesigned Newsletter with New Categories
Good morning and welcome to the new and improved John Lothian Newsletter. Taking another step forward, we have redesigned JLN to be more easily readable for those accessing the newsletter from a variety of devices. While the newsletter is still designed first and foremost to be read on a computer, most mobile users should see a vast improvement in readability.

And we have changed the categories of the newsletter to make it easier to find the information you are looking for.  The categories include: Lead Stories, Regulatory, Exchange and Trading Facilities, Hedge Funds and Managed Futures, Banks and Brokers, Clearing and Settlement, Indexes and Products, Technology, Enforcement, Environmental and Energy, Asia-Pacific, Frontier Markets and Miscellaneous. The top of the box section is now called “First Read.”

Additionally, Managing Editor Christine Nielsen and Senior Editor/Producer Sarah Rudolph have taken over the final pre-publishing editing from JLN Assistant Editor Jon Matte. Mr. Matte still produces the search results from Norway for us first thing in the morning, but Ms. Nielsen and Ms. Rudolph will be collaborating with me to get JLN finished and out to the Internet first thing in the morning in the U.S.

If you like this new redesign, please send me an email and tell me. If you don’t like the redesign, please send JJLCO Chief Marketing Officer Ryan Lothian an email.

~John J. Lothian

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London’s Futures And FX Communities Slog 35 Miles From Home Counties To City For Children’s Charities
The Futures For Kids Walk to Work 2012 raised funds for four children’s charities with a mix of local, regional and international coverage – Demelza House, Hope HIV, Everychild and Variety. The inaugural 2011 Walk consisted of a single route but this year the event was greatly expanded with walkers starting out on 4 routes from Tunbridge Wells, Guildford, Tring and Billericay.
http://jlne.ws/LsSiqU

**** Congratulations to my friends in London on their valuable journey.

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CME Group Inc. Announces Preliminary Results from its 2012 Annual Meeting of Shareholders
CME Group Inc. today announced the preliminary shareholder voting results from its 2012 annual meeting. At the meeting, shareholders:
* elected Dennis H. Chookaszian, Larry G. Gerdes, Daniel R. Glickman, James E. Oliff, Edemir Pinto, Alex J. Pollock and William R. Shepard each for a two-year term expiring in 2014;
* ratified the appointment of Ernst & Young as the company’s independent registered public accounting firm for 2012;
* approved on an advisory basis the compensation of the company’s named executive officers;
* approved the Fourth Amended and Restated Certificate of Incorporation of CME Group Inc. to eliminate the classification of the company’s board as of the 2014 annual meeting;
* approved the CME Group Inc. Amended and Restated Omnibus Stock Plan; and
* approved the CME Group Inc. Amended and Restated Employee Stock Purchase Plan.
http://jlne.ws/LsSgPV

**** Jeff Bernacchi was also re-elected to the board by the B-1 stock holders.

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SunGard Named Regulatory Advisory Firm of the Year by Energy Risk
SunGard‘s energy consulting services practice has been named “Regulatory Advisory Firm of the Year” by Energy Risk Magazine.
http://jlne.ws/LsSiHo

****  Did you know Sungard was spun off from Sun Oil Company in 1982?

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Let Data, Not Politics, Guide Regulation
Tobias J. Moskowitz – Bloomberg
Several years after the global financial crisis, the fierce debate over regulation continues to be driven by strong beliefs — largely uninformed ones — rather than hard facts. Some believe more regulation is necessary, others that it would cause the downfall of our markets. No one, however, seems to be talking about the evidence for or against regulation. This is partly because very little evidence exists on the effects of regulation or its efficacy.
http://jlne.ws/LsSjLx

**** Why let facts and data get in the way of your conclusions?

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JPMorgan shows fighting complexity is futile
By Sallie Krawcheck – Financial Times
There has been much ink spilled on the $2bn – and counting – JPMorgan trading loss: what happened, how it happened, who made the trade, who agreed the trade, whether the Volcker rule would have prevented the loss and whether such a loss should even be of concern given the size of the bank’s balance sheet. Much of this commentary misses a crucial point: the size and risk of the trading position was identified to the management team by an outside party (the press) and once highlighted, it took weeks for them to understand and quantify the loss. This occurred despite JPMorgan being run by one of the financial sector’s savviest management teams.
http://jlne.ws/LsSk1Q

**** They did not and don’t understand the risk they have.  Good firms can make mistakes and disappear as a result.  Anyone remember Bear Stearns?  I could go on, but I won’t.

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Markets: Out of stock
By John Authers and Kate Burgess – Financial Times
Nikhil Srinivasan, the man who decides where one of the world’s biggest insurance funds places its assets, wants to know why he should invest in stocks. “We are delivering what policyholders want,” says Allianz Investment Management’s chief investment officer, speaking from his Munich base. “So there is no need to get aggressive about equities.”
http://jlne.ws/LsSk22

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Cotton traders probed on squeeze
By Gregory Meyer in New York and Javier Blas in London – Financial Times
The US commodities regulator has launched a probe into cotton markets in response to concerns that a squeeze last year caused hundreds of millions of dollars in losses for several high-profile trading houses.
http://jlne.ws/LsSkir

**** Timely investigations are at the core of good regulation.  And then, there is the thing we do a year later.

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Singapore reviews rules for clearers
By Jeremy Grant in Singapore – Financial Times
Overseas clearing houses wanting to offer over-the-counter derivatives clearing in Singapore would have to show that they were subject to standards of oversight in their home country that were “comparable” with those in the Asian city-state.
http://jlne.ws/LsSkiv

**** Getting Jeremy Grant to Singapore should be considered a great foreign policy win.

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CME annual meeting disrupted by chanting activists
Reuters via Yahoo! News
CME Group ejected about 50 activist shareholders from a raucous annual meeting on Wednesday after they shouted for the exchange operator to pay its “fair share” of taxes. “Pay your fair share! Pay your fair share!” demonstrators chanted as they were escorted out of the meeting room by CME security guards.
http://jlne.ws/LsSjer

**** We have not had this much protest since I first came into the futures business and dairy farmers were spilling milk on LaSalle street to protest low prices.  Remember low prices?

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JLN Options

Livevol Receives Private Funding from Institutional Investor
Press Release
Livevol Inc., a leading provider of real-time and historical data solutions to professional and retail equity and index option traders, today announced that it has raised private funding from an institutional investor to fund the acceleration of Livevol’s development.
http://jlne.ws/Jd5ixe

VXN Futures Debuting Today
Jill Malandrino, The Street
Today the CBOE Futures Exchange, LLC (CFE) will launch trading on CBOE NASDAQ-100 Volatility Index(SM) (VXN(SM)) futures contracts. VXN is a key measure of market expectations of near-term volatility conveyed by NASDAQ-100 Index (NDX) option pricing.
http://jlne.ws/MoIg9H

OptionsCity Software launches Algo Store, the ‘iTunes’ of trading world
Press Release
OptionsCity Software, a leading provider of electronic trading solutions,announced today that it has launched Algo Store, an online algorithm repository and collaborative environment that provides a market for traders and developers to create, purchase, and download trading algorithms, available at algostore.optionscity.com.
http://jlne.ws/JxPqLZ

MarketsWiki

Page of the Day
Susan M. Schultz
http://jlne.ws/LoLHh2

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Recent Updates

People
Natasha de Terán; Susan M. Schultz

Companies, Organizations and Groups
Options Industry Council; European Energy Exchange AG; Futures For Kids

Miscellaneous
Upcoming Events; Job Postings

Statistics
23,989,586 pages viewed, 6,870 articles, 141,222 edits
MarketsWiki Statistics

Lead Stories

CME, ICE Clearinghouses Designated Systemic by U.S. Panel
By Silla Brush and Matthew Leising
Derivatives clearinghouses owned by CME Group Inc. and Intercontinental Exchange Inc. have been designated systemically important by U.S. regulators, moving them closer to heightened supervision under the Dodd-Frank Act.
http://jlne.ws/LsSjex

Oslo Bors to charge for excessive orders
By Michael Stothard in Stockholm – Financial Times
Oslo Bors will issue punitive charges to traders if they send too many orders into the exchange that do not result in deals being done, as the industry seeks to crack down on the practice of “quote stuffing”.
http://jlne.ws/LsSjuP

Euro Zone Crisis Boils as Leaders Fail to Signal New Steps
Lionel Bonaventure/Agence France-Presse — Getty Images
President François Hollande of France spoke with reporters in Brussels on Wednesday.
By NICHOLAS KULISH and PAUL GEITNER – NY Times
With Greece’s membership in the euro zone teetering, fears of bank insolvency rising and Europe’s leaders bickering about what to do, the euro crisis is once again intensifying and threatening to undermine fragile growth globally.
http://jlne.ws/LsSjuT

Key regulators learned of JPMorgan loss from media reports
By Jim Puzzanghera, Los Angeles Times
The public won’t be protected from the type of risky bets that led to the huge trading loss at JPMorgan Chase & Co. until new rules are approved to allow better monitoring of complicated derivatives transactions, two key federal regulators told a Senate committee. As it was, the heads of the Securities and Exchange Commission and the Commodity Futures Trading Commission said Tuesday that they learned of the unusual trading activity that led to JPMorgan’s $2.3-billion trading loss through media reports.
http://jlne.ws/LsSkPt

JPMorgan Hearing: Market Regulators Warn They’re Broke, Outgunned By Wall Street
D.M. Levine – Huffington Post
Two of the most important financial regulators in the country have a message for Congress: We need more money. At a hearing before the Senate Banking Committee Tuesday morning, Securities and Exchange Commission Chairman Mary Schapiro and Commodity Futures Trading Commission Chairman Gary Gensler told lawmakers that the demands on their agencies to expand oversight are growing, but that their pocketbooks are not.
http://jlne.ws/KJsVhU

Facebook eyes move to NYSE
Fort Wayne Journal Gazette
Facebook is in talks with the New York Stock Exchange to move its stock from the Nasdaq Stock Market after a botched initial public offering Friday, according to a person familiar with the matter.
http://jlne.ws/LsSkPF

JPMorgan’s Big Loss: Why Banks Still Haven’t Learned Their Lesson
Knowledge at Wharton
When JPMorgan Chase announced its $2 billion trading loss on May 10, some analysts asked, “What’s the big deal?” Even though the loss now appears to have grown to $3 billion, and could, by some accounts, soar to $5 billion or more, that’s pocket change to this enormous bank, which is healthy and making money.
http://jlne.ws/LsSmqF

Eurogroup head admits possibility Greece could ditch euro, though ‘working assumption’ is no
AP
European Union leaders concluded their latest summit with few concrete steps to fix the continent’s festering financial crisis even as the potential for a messy Greek exit from the euro appears to be rising. Some leaders stressed the importance of planning for just such an event but offered no measures that might help Greece avoid it.
http://jlne.ws/LsSl62

ECB questions holes in Greek bank recap plans
Reuters via Yahoo! News
The European Central Bank has given its backing to Greece’s plans to recapitalize its banks but raised a number of key questions about how the fund set up to do the job will work.
http://jlne.ws/LsSl67

Greece’s Ministry Of Finance Denies Reports That Each Eurozone Country Should Prepare Contingency Plans For Potential consequences Of Departure Of Hellenic Republic From Single Currency Area
http://jlne.ws/LsSmH7

Regulatory

The SEC News Digest
The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.
http://www.sec.gov/news/digest.shtml

Hedge exemption should not be layup
By Daniel P. Collins – Futures Magazine
The heads of the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) both stated that there are specific criteria for banks to meet the hedge exemption allowed under the Volcker rule of the Dodd-Frank Act, stating that a hedge must be used “to mitigate specific risks.”
http://jlne.ws/LsSqXh

European Parliament Adopts Ambitious Approach On Financial Transaction tax
http://jlne.ws/LsSrKP

Steven Maijoor Chair Of ESMA Speaks At The Government Borrowers Forum
http://jlne.ws/LsSrdU

ISDA Publishes Paper Examining Differences In Derivatives Reporting Between US GAAP And IFRS Accounting Standards
http://jlne.ws/LsSrL0

Joaquin Almunia Vice President Of The European Commission Responsible For Competition Policy Overcoming The Crisis: The Role Of Finance Second European Financial Congress Sopot, 23 May 2012
http://jlne.ws/LsSs1m

[ASIC] MoneySmart wins best website award
http://jlne.ws/LsSrup

ASIC relief decisions: October 2011 to January 2012
http://jlne.ws/LsSruz

BCSC panel issues lifetime ban against B.C. man for fraud
A British Columbia Securities Commission panel has sanctioned a B.C. man for committing fraud and engaging in unregistered trading.
http://jlne.ws/LsSuq1

BCSC panel cease trades unregistered Bahamian company for misconduct and refusal to provide information
A British Columbia Securities Commission panel has issued a cease trade order against a Bahamian company for trading and advising in securities in B.C. without being registered, and for refusing to provide BCSC staff with information relating to B.C. residents who have held accounts with the company.
http://jlne.ws/LsSuqf

Buffett banker details ‘top secret’ deal
By Kara Scannell in New York – Financial Times
A former top Goldman Sachs banker testified in an insider trading trial involving a former Goldman director that Warren Buffett’s $5bn investment in the bank was “about as top secret as you could get” before it was announced to the public.
http://jlne.ws/LsSsyp

Exchanges & Trading Facilities

CME set to extend hours for pit grain trading: traders
Reuters via Yahoo! News
The CME Group will ask federal regulators on Thursday to approve a plan to increase hours for its open-outcry grain trading at its Chicago Board of Trade grain futures, grain traders told Reuters following their private meeting with CME officials on Wednesday.
http://jlne.ws/LsSlmw

Vanguard picks London Stock Exchange and FTSE for European ETF debut
London Stock Exchange today welcomes Vanguard Asset Management (Vanguard) as a new ETF issuer on its Main Market. Vanguard has listed five ETFs on LSE – its first such products in Europe. FTSE Group has licensed Vanguard with its flagship FTSE All-World, FTSE Emerging and FTSE 100 indices to support the products.
http://jlne.ws/LsSlD0

MSCI And BM&FBOVESPA Reach A Preliminary Agreement On Tthe Expansion Of Their Business Relationship And The Provision Of Real Time Data
With this preliminary agreement, the calculation of MSCI real time indices will continue as normal to support a range of financial products. The parties will now work on the completion of binding documentation.
http://jlne.ws/LsSne0

Deutsche Boerse Expands Its European Network – New Direct Access Point Planned At Equinix ZH4 Data Centre In Zurich
http://jlne.ws/LsSne6

Warsaw Stock Exchange Accepts 400th New Listing On NewConnect After Announcing Major Market Reform
http://jlne.ws/LsSlTH

11th Annual General Meeting Of Hellenic Exchanges
http://jlne.ws/LsSnee

Hellenic Exchanges – Dividend For Fiscal Year 2011
http://jlne.ws/LsSma4

Direct Edge Trading Notice #12-21: Market Holiday Reminder – Memorial Day
http://jlne.ws/LsSmaa

NZX Limited Ordinary Shares Update
http://jlne.ws/LsSmae

Hedge Funds & Managed Futures

Goldman sets $40 billion clean energy investment plan
Reuters via Yahoo! News
Goldman Sachs Group Inc plans to channel investments totaling $40 billion over the next decade into renewable energy projects, an area the investment bank called one of the biggest profit opportunities since its economists got excited about emerging markets in 2001.
http://jlne.ws/KEd3he

Laying a golden egg
New York Post
Investors with legendary hedge-fund manager John Paulson aren’t taking a shine to his gold metal performance – in fact, some are heading for the exits. Investors are upset over Paulson’s huge gold positions – specifically, his outsize holding of AngloGold Ashanti, down 20 percent this year, The Post has learned.
http://jlne.ws/LsSsOU

Hedge Funds’ Top 10 Stocks: For This They Get Two-and-Twenty?
Forbes
Hedge fund managers barely old enough to buy their first Ferrari keep showing up on the Forbes 400 list of richest Americans, so, one surmises, these guys must really be smart.
http://jlne.ws/LsSsOZ

Silver Lake in E1bn Global Blue deal
By Richard Waters – Financial Times
Silicon Valley buyout firm Silver Lake Partners is set to lead a E1bn acquisition of Swiss-based retail technology concern Global Blue, in what would count among the top handful of private equity deals in Europe this year.
http://jlne.ws/LsSsP4

New York pension fund assets hit $150 billion, near peak
Reuters via Yahoo! News
New York state’s pension fund assets rose 5.96 percent to $150.3 billion in the 2012 fiscal year, not far from the $154 billion peak set in 2007, the state’s comptroller said on Wednesday. Despite the improvement, the return remained below the assumed rate of return of 7.5 percent.
http://jlne.ws/LsSuXa

Will investors take to crowdfunding?
Reuters via Yahoo! Finance
Artists are not renowned for financial savvy, but their success in raising money on the Internet through donations to crowdfunding websites like Kickstarter and Indiegogo could lead the way for a new class of investing.
http://jlne.ws/LsSt5q

Searching for yield in uncertain times
Reuters via Yahoo! Finance
The hunt for yield in a low-interest-rate world is driving investors into markets such as U.S. junk bonds and Japanese stocks as they shrug off the risk the global recovery could stall.
http://jlne.ws/LsSt5F

Banks & Brokers

M Stanley turns profit on Facebook support
By Tracy Alloway in New York – Financial Times
Morgan Stanley and other banks made a profit from the rescue of Facebook shares in the wake of the social network’s troubled initial public offering last week. The profit is likely to focus attention on the mechanics of how big Wall Street banks “stabilise” shares in IPOs.
http://jlne.ws/LsSmaf

When Jamie Went To Sleep: The JP Morgan Debacle
Forbes
The current J P Morgan debacle is instructive on so many levels. At the J P Morgan annual meeting held a week ago, Jamie Dimon strenuously assured shareholders that those responsible for recent $2.3 billion in trading losses would be disciplined. That’s just great. As far as I know, three culpable parties, including chief investment officer Ina Drew are leaving, been demoted, or may be leaving
http://jlne.ws/LsSp5K

Knight Capital: Facebook Trading Losses May Rise To $35M
By Jacob Bunge Of DOW JONES NEWSWIRES
Knight Capital Group Inc. may suffer pretax losses of up to $35 million linked to its trading in Friday’s glitch-ridden initial public offering of Facebook Inc. on the Nasdaq Stock Market, the company disclosed Wednesday.
http://jlne.ws/LsSnL8

Morgan Stanley to adjust prices on Facebook trades
Reuters via Yahoo! News
NEW YORK (Reuters) – Morgan Stanley told brokers on Wednesday it is reviewing every Facebook Inc trade and will make price adjustments for retail customers who paid too much during the social network company’s debut last week, according to an internal memo.
http://jlne.ws/LsSpmc

JPMorgan takes more risk than rivals
By Ajay Makan in New York – Financial Times
JPMorgan Chase’s chief investment office, still reeling from a $2bn-plus trading loss, has been taking a much more aggressive approach to investing the bank’s own funds than its competitors, according to regulatory filings.
http://jlne.ws/LsSpmn

Positive PR Lessons from JPMorgan’s Derivatives Loss
Forbes
The past two weeks have certainly not been pleasant for Jamie Dimon, but under the circumstances they could have been a lot worse. For a start Mr. Dimon has retained his position as both CEO and Chairman of JPMorgan after last week’s annual meeting, despite a sharp increase (40%) in shareholders calling for him to …
http://jlne.ws/LsSpCP

Central Banks, IMF To Supervise Spain Bank Audits
Dow Jones
Euro-zone central banks, the International Monetary Fund and the European Banking Authority will supervise the audits to be carried out on the Spanish banking sector by independent consulting firms hired by the country’s government, reports El Pais in its Thursday Internet edition, citing people close to the process.
http://jlne.ws/LsSpCS

Fitch Wavers Over Plans to Relax Banks’ Derivatives Rules
Bloomberg
Fitch Ratings is wavering over part of its plan to loosen rules for banks that sell derivatives contained in securitizations and covered bonds. The company is readying a series of adjustments to its guidelines for transactions that rely on counterparties in the $700 trillion derivatives market. Swaps can be used to turn mortgages in one currency into securities in another or to create floating-rate bonds out of fixed car loans.
http://jlne.ws/LsSpTe

JPMorgan Appoints Senior Investment Banker
By MARK SCOTT – NY Times
JPMorgan Chase is naming Joseph A. Walker as senior vice chairman of its investment banking unit, according to an internal e-mail obtained by DealBook. Mr. Walker, who previously spent 22 years working at JPMorgan before leaving the firm in 2001, will be based in New York and will start later this month.
http://jlne.ws/LsSoic

Former Billionaire Schickedanz Seeks EUR1.9 Billion From Deutsche Bank Unit
Dow Jones
Former billionaire Madeleine Schickedanz has filed a long-awaited lawsuit against Deutsche Bank AG’s (DBK.XE) private wealth management unit Sal.
http://jlne.ws/LsSpTs

AIG Can’t Pursue Some Countrywide Claims in $10 Billion Lawsuit
Bloomberg
American International Group Inc. (AIG) was blocked from pursuing some of its claims against Bank of America Corp .’s Countrywide unit that are part of a lawsuit over $10 billion in losses related to residential mortgage-backed securities.
http://jlne.ws/LsSoil

Instinet Adds McBee Strategic Insight As Research Provider
http://jlne.ws/LsSqqh

Investment Banking & Securities Brokerage in the UK Industry Market Research Report Now Updated by IBISWorld
PRWeb
The Investment Banking and Securities Brokerage industry has been on a roller-coaster ride over the past five years. IBISWorld estimates industry revenue will contract at an annualised 1.6% over the five years through 2012-13 to total £41.6 billion.
http://jlne.ws/LsSqGI

HighTower Releases Enhanced Host Platform: Built By Advisors For Advisors
PR Newswire via Yahoo! Finance
HighTower, the first advisor-owned national financial services company serving wealthy families and institutional clients, announced today the expansion of the financial industry’s first comprehensive technology solution providing direct access to multiple custodians and clearing firms, best-in-class tools, and an unconflicted expanse of investment products.
http://jlne.ws/LsSqGR

Goldman Sachs to Present at Sanford C. Bernstein’s 2012 Annual Strategic Decisions Conference 2012
http://jlne.ws/LsSoP9

Clearing & Settlement

CME, ICE Clearinghouses Designated Systemic by U.S. Panel
By Silla Brush and Matthew Leising
Derivatives clearinghouses owned by CME Group Inc. and Intercontinental Exchange Inc. have been designated systemically important by U.S. regulators, moving them closer to heightened supervision under the Dodd-Frank Act.
http://jlne.ws/LsSjex

Indexes & Products

BNP Paribas CIB Licenses Its Diversified USD Covered Bond Index to ProShares
Marketwire
BNP Paribas Corporate and Investment Banking announced today that it has entered into an agreement to offer ProShares an exclusive license to use the BNP Paribas Diversified USD Covered Bond Index.
http://jlne.ws/LsSt5s

Bloomberg BNA Conference to Offer Comprehensive Look at Issues and Uses of Financial Products and Derivatives
PR Newswire via Yahoo! News
Financial products and derivatives have become the primary instruments in the global financial markets for corporations and financial institutions seeking to hedge risks or lock in certain financial or economic benefits. Bloomberg BNA | CITE will host a live conference, Introduction to U.S. Taxation of Financial Products and Derivatives, June 4-5 at the Sentry Conference Center in New York City, that will examine the basic economic and U.S. tax aspects of typical financial products and derivative instruments used in financial markets today.
http://jlne.ws/LsSt5B

Technology

NYSE Technologies And The Warsaw Stock Exchange Announce Market Data Partnership
NYSE Technologies, the commercial technology division of NYSE Euronext, today announced its market data partnership with the Warsaw Stock Exchange (WSE). Customers will now have access to the WSE’s market data services via NYSE Technologies’ innovative suite of market data products and services.
http://jlne.ws/LsSvu9

Object Trading Extends Global Colocation Direct Market Access Coverage for The Kyte Group
Object Trading, an independent provider of global direct market access (DMA), today announced that The Kyte Group, an integrated clearing, broking and investment service provider for professional traders and investors around the world, is extending its global collocation DMA coverage with Object Trading.
http://jlne.ws/LsStm3

Asset Control Wins Inside Reference Data’s “Best Enterprise Data Management Vendor” Award for Fifth Consecutive Year
Asset Control, provider of financial data management solutions and services, has been selected as the “Best Enterprise Data Management Vendor” by readers of Inside Reference Data. This is the fifth year in a row that Asset Control has received this award.
http://jlne.ws/LsSvKC

Enforcement

Federal Court in New York Orders Chicago Resident and Former Floor Broker, Kent R.E. Whitney, to Pay $600,000 for Margin Call Avoidance Scheme
The U.S. Commodity Futures Trading Commission (CFTC) obtained a federal court consent order of permanent injunction requiring defendant, Kent R.E. Whitney (Whitney), a former floor broker of Chicago, Ill., to pay a $600,000 civil monetary penalty for making false and misleading statements to Chicago Mercantile Exchange (CME) representatives, futures commission merchants (FCMs), and others in connection with an elaborate scheme to trade options without posting the required margin.
http://jlne.ws/LsSoPj

The AMF and the ACP update the list of unauthorised websites and entities offering forex investments
On 20 September 2011, the Autorité des marchés financiers (AMF) and the Autorité de contrôle prudentiel (ACP) published an update of the 7 July 2011 news release warning retail investors about proposals to invest in the currency (or forex) market.
http://jlne.ws/LsSoPm

Environmental & Energy

Green Exchange Holiday Hours for Memorial Day Holiday
http://jlne.ws/LsSmHe

Goldman sets $40 billion clean energy investment plan
Reuters
Goldman Sachs Group Inc plans to channel investments totaling $40 billion over the next decade into renewable energy projects, an area the investment bank called one of the biggest profit opportunities since its economists got excited about emerging markets in 2001.
http://jlne.ws/KEd3he

**RKB — Applies to investment and financing for solar, wind, hydro, biofuels, biomass conversion, energy efficiency, energy storage, green transportation, efficient materials, LED lighting and transmission.

ICE’s EUA open interest hits fresh record early
Reuters Point Carbon
Open interest on ICE Futures Europe’s EU Allowance futures rose to a record 735.5 million units on Tuesday, exceeding the previous high months earlier than expected.
http://jlne.ws/KVAKl4

EU warns climate talks at risk of floundering
AFP
Europe warned at climate talks in Bonn on Wednesday that efforts to forge a new global pact to avert environmental disaster were in danger of floundering, and some pointed fingers at China.
http://jlne.ws/MIx0rl

Asia-Pacific

The wobbly panda won’t fall yet
By David Pilling – Financial Times
April was a truly gripping month for Chinese politics. Bo Xilai, the nearest thing in China to a politician running for national office, was purged with a brutality reminiscent of the Mao era he had so enthusiastically invoked. But while the country, and the world, was spellbound by the unfolding political drama, something strange was happening to the economy – nothing at all.
http://jlne.ws/LsStT1

Tokyo Stock Exchange Group, Inc. and GreTai Securities Market Sign Memorandum of Understanding
Tokyo Stock Exchange Group, Inc. (TSE Group) and GreTai Securities Market (GTSM) signed a Memorandum of Understanding (MOU) today. With the MOU, both markets wish to build a closer relationship and explore opportunities for exchanging information and working on the development and listing of financial products. Under the agreement, the two markets will consider the possibility of cooperating in the listing promotion and other marketing activities for the benefits of issuers in both regions.
http://jlne.ws/LsStT9

World Bank sees China as drag on emerging Asia
MarketWatch via Yahoo! Finance
The World Bank on Wednesday forecast slower economic expansion for developing nations in East Asia this year due to weakness in China, and urged governments in the region to look domestically for growth rather than relying on exports.
http://jlne.ws/LsSwhD

Hong Kong tycoon charged with bribery
By Enid Tsui in Hong Kong – Financial Times
Shares in Chinese Estates Holdings were suspended in Hong Kong on Thursday after Joseph Lau, its chairman, was charged overnight with bribery and money laundering in Macau. The allegations are likely to further tarnish the reputation of Hong Kong developers and could undermine efforts to improve Macau’s corporate image.
http://jlne.ws/LsSu9F

EU to China: ‘We don’t want a trade war’
Air Transport World
EU has appealed to China to join global emission talks as tensions escalate over the country’s refusal to join the European Union’s Emissions Trading Scheme (EU ETS).
http://jlne.ws/LsSwy8

BT Taking Steps To Open Up Hong Kong Markets To Global Investors
BT Radianz Portfolio To Be Offered From Hong Kong Exchange’s New Data Centre To Deliver Fully Managed Hosting And Low-Latency Interconnectivity Services
http://jlne.ws/LsSx5e

Thai Bourse Announces Three Members Elected To Its Board
The Stock Exchange of Thailand (SET) announced that three members were elected to its board of governors to replace those whose terms will end on May 27, 2012, at a general meeting of member companies today.
http://jlne.ws/LsSx5j

SGX Welcomes Swee Hong To Mainboard
Singapore Exchange (“SGX”) is pleased to welcome the listing of Swee Hong Limited on the Mainboard board under the stock code, “QF6”.
http://jlne.ws/LsSx5l

Monetary Authority Of Singapore Issues Response To Feedback On Proposed Regulation Of Derivatives Market in Singapore And Consultation Paper On Amendments To The Securities And Futures Act
http://jlne.ws/LsSwOF

Shenzhen Stock Exchange Promulgates
http://jlne.ws/LsSwON

Frontier Markets

DFSA Meets Finance Leaders in Hong Kong and Singapore
The Dubai Financial Services Authority (DFSA) met, today and last week, senior government officials, financial regulators, industry figures and academics in Hong Kong and Singapore.
http://jlne.ws/LsSxlT

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