SIX Turns 10: SIX’s Urs Rüegsegger Says the Vertical Model and Interoperability Works

Spencer Doar

Spencer Doar

Associate Editor

Ten years ago, SIX Group was formed in a merger between SWX Group, Telekurs Group and SIS Group, creating a new vertical business model. Urs Rüegsegger, chairman of SIX Swiss Exchange, helped lead that transition and growth as CEO of the exchange for nine years before stepping down last December. JLN’s Jim Kharouf sat down with Rüegsegger at the WFE’s IOMA Conference in Chicago to talk about how SIX and its clearing business has grown over the past decade.

SIX Group’s exchange, clearinghouse and other business lines, including credit card transaction processing, have grown steadily over the past decade. Its cash equity clearing business has shown tremendous growth of more than 600 percent during that time, thanks to interoperability among European equity clearinghouses. SIX expanded its clearing membership base internationally. And by offering clearing on SIX from different exchange venues, customers have been able benefit from cross margining and other collateral benefits that lower costs by about 80 percent. But in today’s connected and uncertain markets, Rüegsegger believes the costs and risks of clearing should be revisited.

“One of my biggest concerns is whether a clearinghouse really gets fairly compensated for the risk it takes,” said Rüegsegger, who serves as vice chairman of the WFE. “I think as an industry that is something we should put some thought into because clearing is a very, very important function in the whole value chain of securities markets.”


Produced by Mike Forrester


John Lothian Newsletter

Today's Newsletter

From Dutch Tulips to Internet Stocks, Bubbles Often Burst

From Dutch Tulips to Internet Stocks, Bubbles Often Burst

First Read $40,951/$300,000 (13.7%) Brian Duff ++++ JLN Editor-in-Chief Sarah Rudolph to Return to Full-Time Duties Monday; Suzanne Cosgrove Named JLN Deputy Managing Editor JLN Editor-in-Chief Sarah Rudolph has been working part time for the past few weeks and will...

We visit more than 100 websites daily for financial news (Would YOU do that?)

Now Read This

Cboe set to launch Amsterdam derivatives exchange

Cboe set to launch Amsterdam derivatives exchange

Observations & Insight OIC 2021: Options Industry Conference Kickoff Looks at State of the Industry John Lothian - John Lothian News Cboe's Henry Schwartz Offers Keen Analysis of Industry Trends Driving Unprecedented Volume The 2021 Options Industry Conference,...

Pin It on Pinterest

Share This Story