The John Lothian Daily Update is a podcast turning the daily JLN hits and takes comments, our original content and the stories and quips in the top box of First Read into a daily podcast.
Hits & Takes
The U.S. Holocaust Memorial Museum has a video project called “artifacts.” One episode of its series features the crayon box of one Leo Melamed. This short video tells the story of Leo’s life, but also about this artifact of his childhood, given to him when he was a refugee in Japan. It is a moving story, no matter how many times and different ways I see it told.
In the video there is a slide where Leo calls his father the “smartest man I ever met, because he knew we had to run.” The museum is currently closed because of the pandemic, but their “work to teach the lessons of the Holocaust doesn’t stop.” Donations for the museum are welcome.
Barron’s has a story that Trading Technologies is for sale and the process is pretty far along. I don’t buy the reasoning from the headline that this is related to any trading glitches. The story does say there are four sources that confirmed it and they named the advisor (Broadhaven), which is pretty convincing it is for real. I know one person in particular whom this deal will make happy (Hi Alex!). It is more likely that the impetus of any deal is that the majority owner of TT, Harris Brumfield, believes the time is right to get the right kind of strategic deal done to help further the growth of the company. Harris has a shrewd mind for the big picture and the micro picture as well. More will come on this story. Stay tuned.
FIA has a commentary by Walt Lukken titled “Viewpoint: Markets are key to solving climate problem.”
In more bad news for people who like to eat out in Chicago, Crain’s Chicago Business is reporting that Ruth’s Chris steak house is to permanently close its Chicago location. That only leaves 247 other steak joints in Chicago to eat at, or thereabouts.
Eurex has verbally agreed to sponsor our Daily Update podcast and the weekly recap too as part of their sponsorship deal with us. It is not an exclusive deal, so if others are interested the door is still open.
Have a great day and stay safe and treat people the same way you want to be treated: with respect, equality and justice.~JJL
The CFTC said Tuesday the agency’s Division of Enforcement filed 113 enforcement actions in fiscal year 2020 (which ended September 30), more than in any year in the CFTC’s history. As JLN reported last month, the agency scored another record in 2020 when JPMorgan Chase and Co. agreed to pay the U.S. government $920 million in fines and disgorgement to settle spoofing charges. The year’s enforcement actions were done under the watch of Director of Enforcement James McDonald, who is leaving the CFTC on Thursday. He will be replaced by Vincent McGonagle, principal deputy director of the division, who will serve as acting director, the CFTC said. More details on fiscal year 2020 enforcement actions are expected to be included in the division’s annual enforcement report issued later this year.~SC
Trading Technologies Seeks a Buyer
Luisa Beltran – Barron’s
Trading Technologies International, a provider of cloud-based trading software, is up for sale, according to four banking and private-equity executives familiar with the matter. Broadhaven Capital Partners is advising on the auction, the people said. Trading Technologies is expected to sell for roughly $500 million, one of the people said. The process is believed to be in the late stages, with a deal near.
***** I would say they seek a buyer to help them grow and take the next step. Who is that?~JJL
Enforcement Director James McDonald to Depart CFTC
The Commodity Futures Trading Commission today announced that Division of Enforcement Director James McDonald will depart the agency on October 8, 2020. Mr. McDonald has served as Director of Enforcement since April of 2017.
*****Jamie McDonald did a lot of good work as enforcement director. He will also be linked forever with a certain case I shall try to forget.~JJL
Coronavirus Update—Expiration of Temporary Relief from Fingerprinting Requirements
In April 2020, the CFTC’s Division of Swap Dealer and Intermediary Oversight (DSIO) issued a no-action letter granting temporary relief to registrants and applicants for registration listing a principal, and for applicants for associate person (AP) registration, from the fingerprinting requirements in CFTC Regulations 3.10(a)(2) (for natural person principals) and 3.12(c)(3) (for APs). NFA issued similar relief from the fingerprinting requirements in NFA Registration Rules 204(a)(2)(A) and 206(a)(1)(A). In July 2020, DSIO and NFA extended this relief until September 30, 2020.
***** Time for some new means of identification. How about a DNA swab and Covid-19 test all in one?~JJL
Is Nasdaq moving some of its operations to DFW? Governor says talks held for state
Brian Womack – Dallas Business Journal
Nasdaq is in discussions with Gov. Greg Abbott about potentially relocating the exchange’s electronic trading systems from New Jersey to Dallas-Fort Worth, the Dallas Morning News reported.
*****Nasdaq can go where the Dallas Cowboys football team plays. If they keep playing the way they are, they will be ridden out of the state.~JJL
Tuesday’s Top Three
Our top story Tuesday was the Financial Times’s Investors find new hedges against a US election sell-off. Second was the FIA’s page about FIA Execution Source Code, aka “Tag 1031,” an FIA-led industry initiative in conjunction with FIA Tech. Third was New York Magazine’s GOP Elites Thought They Could Buy Their Way Out of a Pandemic, which contains a picture of a White House gathering including what looks very much like Senator Kelly Loeffler