23 July 2016
Find out more

Nasdaq OMX suspends plans for competitive clearing

26 March 2012  |  6622 views  |  0 ticker 1

Nasdaq OMX has postponed plans to introduce interoperable clearing in the Nordic cash equity markets in April, citing regulatory uncertainties.

The exchange was set to join the UBS MTF, Turquoise, Burgundy and Chi-X and Bats in introducing competitive clearing from next month.

Traders and operators have spent years lobbying for clearing interoperability as a way to reduce post-trade costs. Agreement on a common code of conduct for interoperability was reached in 2006, but progress has been slowed by a succession of competitive constraints, regulatory and risk issues.

In suspending its plans, Nasdaq OMX says it will await the outcome of a host of regulatory reforms set to be introduced over the coming year, including the drafting of technical standards by the European Securities and Markets Authority in cooperation with the European System of Central Banks. These arre not set to be finalised until the end of the year.

Hans-Ole Jochumsen, president of Nasdaq OMX Nordic says the exchange has been working on its competitive clearing model since 2009.

"We are convinced that it will act to drive liquidity and lower investor costs, thus benefiting our clients and the European capital market as a whole," he says. "However, there is still uncertainty regarding the detailed requirements for interoperability even though there is a political agreement regarding Emir (the European Markets Infrastructure Regulation). There needs to be clarity and a level playing field in this area, before we can introduce interoperability."

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Bats Chi-X Europe rolls out four-way clearing interoperability

Bats Chi-X Europe rolls out four-way clearing interoperability

09 January 2012  |  6210 views  |  0 comments
Swiss clearer targets Asia as European interoperability deals boost volumes

Swiss clearer targets Asia as European interoperability deals boost volumes

08 December 2011  |  5978 views  |  1 comments
Chi-X Europe plans clearing interoperability

Chi-X Europe plans clearing interoperability

17 August 2011  |  7091 views  |  1 comments
LCH.Clearnet and X-Clear get FSA approval for interoperability

LCH.Clearnet and X-Clear get FSA approval for interoperability

12 May 2011  |  10802 views  |  1 comments
LCH.Clearnet suspends interoperability work as watchdogs probe risks

LCH.Clearnet suspends interoperability work as watchdogs probe risks

30 October 2009  |  7896 views  |  1 comments
European exchanges and clearers lay down interoperability guidelines

European exchanges and clearers lay down interoperability guidelines

02 July 2009  |  6733 views  |  0 comments
European clearing code failing to deliver

European clearing code failing to deliver

12 September 2008  |  5749 views  |  0 comments
Deutsche Börse requests market access under new clearing code

Deutsche Börse requests market access under new clearing code

21 September 2007  |  5750 views  |  0 comments
Eurex Clearing and SIS x-clear agree interoperability pact

Eurex Clearing and SIS x-clear agree interoperability pact

19 September 2007  |  5505 views  |  0 comments
New clearing code to abolish cross-border barriers

New clearing code to abolish cross-border barriers

04 July 2007  |  6182 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Find out moreVisit www.abe-eba.euVisit VocaLink.com

Top topics

Most viewed Most shared
MasterCard agrees £700m VocaLink acquisitionMasterCard agrees £700m VocaLink acqu...
7667 views 13 comments | 32 tweets | 36 linkedin
hands typing furiouslyWhat Every FinTech CEO Should Know About R...
7630 views 0 | 14 tweets | 8 linkedin
Santander doubles down on fintech fundSantander doubles down on fintech fund
7466 views comments | 22 tweets | 28 linkedin
Brexit-scarred London fintech startups enquire about moving to BerlinBrexit-scarred London fintech startups enq...
7318 views comments | 16 tweets | 16 linkedin
hands typing furiouslyBanking on IoT: Security in the Internet o...
7306 views 3 | 19 tweets | 6 linkedin

Featured job


Brussels (Belgium) or Paris (France)

Find your next job