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
John Lothian News is going to start a new podcast experiment, 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. We will push it out via social media after the newsletter comes out.
IEX has had their D-Limit order type approved by the SEC. I wrote a comment letter in support of this move, so I am pleased with the result. Congratulations to IEX and let’s see if it will perform as designed.
For those of you who just love real estate news, Don Wilson is in the news with a commercial real estate story in Crain’s Chicago Business. The headline is “Don Wilson changes course on Gold Coast landmark; The Chicago trader’s real estate business had hired a broker to sell the former Three Arts Club building leased to Restoration Hardware. But it decided to take advantage of low interest rates by refinancing instead.”
Happy birthday to Frank Chaparro of The Block, who turned all of 25. I have t-shirts older than him.
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 LME is holding its Metals Seminar virtually this year and registration is open. The keynote speaker will be Sanjeev Gupta, executive chairman of GFG Alliance, and the event will take place Monday 19 October 2020, 09.00-12.45 BST / 04.00-07.45 EDT / 16.00-19.45 HKT. Registration is free. You can go here to see the full agenda and here to register. ~SR
The FIA is calling for fintech startups to claim a spot at FIA’s annual fintech showcase – the Innovators Pavilion – at the Futures and Options Expo. There is no charge for startups to participate, but to be eligible, firms should be no more than five years old and should have a product or prototype ready to showcase at Expo-V 2020. Applications are due September 18, 2020. Startups selected for the Innovators Pavilion will be notified on a rolling basis. You can go here to apply.~SR
In twenty years, exchanges have gone from clubby firms to huge conglomerates; They control everything from the software powering back offices to the data pored over by investors
The Hong Kong Stock Exchange (HKEX) resembles a financial estuary, says Charles Li, its boss. China’s capital flows mix with the open seas of global markets. In 2014 hkex sought to ride the waves by launching Stock Connect, a conduit allowing offshore and mainland punters to invest in each other’s markets. Later it eased its listing rules for firms with dual share classes. All that has helped make hkex more hospitable to the tech firms that exchanges covet. It has just landed another big catch. On August 25th Ant Group, the fintech affiliate of Alibaba, a Chinese e-commerce giant, filed for a listing that may raise $30bn in Hong Kong and Shanghai (see article). That would make it the largest initial public offering ever.
*****This story is no surprise to you if you have been reading JLN since before it had a name; that was 20 years ago.~JJL
IEX receives SEC’s OK on new order designed to improve displayed liquidity
Declan Harty – S&P Global
IEX Group Inc. plans to launch a new order type that it says will provide traders with a way to avoid adverse selection on its exchange. The stock exchange operator, known for the role its founding executives played as the protagonists in Michael Lewis’ “Flash Boys,” received the U.S. Securities and Exchange Commission’s approval for its proposed Discretionary Limit, or D-Limit, order type Aug. 26.
*****It is good to see the SEC embrace this innovation.~JJL
CryptoMarketsWiki Coin of the Week: Polkadot (DOT)
Polkadot, a digital asset protocol created by Ethereum developer Gavin Wood, may soon be interoperable with Ethereum, a developer working on the project said this week. The project, which is being developed by a software development team called “Snowfork,” is a fork that will act as a “bridge” between Polkadot and Ethereum, allowing users to transfer value held by DOT tokens to ETH, and vice versa, as well as enabling other cross-platform features to be developed. The project is scheduled to launch in mid-September.
Thursday’s Top Three
Our top story Thursday was the Wall Street Journal’s OneCoin Took In Billions. Then Its Leader Vanished, about the alleged pyramid scheme of Ruja Ignatova, known as the Cryptoqueen. Second, for the second time in the top three, was Kenilworth mansion sells for $7.5 million, from Crain’s Chicago, about the former home of Craig Donohue and his wife. Third was the U.S. Securities and Exchange Commission’s press release, SEC Modernizes the Accredited Investor Definition. (And our MarketsWiki Page of the Day Thursday was “Accredited investor.”)