The Final Frontier - Online Remote Trading Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Final Frontier - Online Remote Trading

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: TFF	10/7/2008 4:42:24 PM
	of 12617

CME, Citadel to Create Credit Default Swap Exchange Oct. 07, 2008 (Reuters) — CME Group Inc. and Citadel Investment Group LLC said Tuesday they are creating a platform for electronic trading of credit default swaps, amid calls by regulators to migrate trading of the securities onto exchanges. The platform will be integrated with a central clearing house, the companies said in a release. The pair will launch a joint venture for the platform within 30 days, and are offering major participants in the $55 trillion market equity stakes in the company to encourage them to support trading on the exchange. "This joint venture is a best-of-both-worlds solution that will reduce much of the systemic risk inherent in the current CDS market structure," CME Group Executive Chairman Terry Duffy said in the release. Regulators and industry participants have voiced concern that the market poses systemic risks as the failure of a large counterparty will provoke large losses to investors globally. The New York Federal Reserve will host a meeting with banks and institutional investors on Tuesday to discuss establishing a central counterparty for the global credit default swap market

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next