OT- Instinet now in Australia
(COMTEX) B: INSTINET OPENS FOR BUSINESS IN AUSTRALIA
B: INSTINET OPENS FOR BUSINESS IN AUSTRALIA
SYDNEY, May 10 /PRNewswire/ -- Instinet Asia Pacific, an operating
company of Instinet Corporation, a wholly owned subsidiary of Reuters
Group PLC (RTR.L) and the world's largest agency broker, today
announced the launch of its Australian operation, Instinet Australia
Limited, which commences trading on 12 May 1999 from its new office in
Sydney.
Instinet also announces its admission to membership of the Australian
Stock Exchange. Instinet Australia Limited will be a participating
organisation in the Australian Stock Exchange Limited.
Instinet Australia is headed by Mr. David Horsfield, who recently
joined Instinet as Managing Director, Asia Pacific, and Managing
Director, Instinet Australia Limited. Horsfield also has
responsibility for Instinet's businesses in Asia ex-Japan, and reports
to Geoffrey Flynn, CEO, Instinet Asia.
Instinet Australia has been established to provide access to the
domestic Australian equity market for both Australian clients and
Instinet's global client base, and to bring its innovative technology
to Australia to allow Australian investors electronic access to the
world's equity markets.
Geoffrey Flynn, CEO of Instinet Asia, said, "This launch marks another
step in Instinet's commitment to provide our clients around the globe
with seamless access from their desktops to the world's markets. The
Australian Stock Exchange is at the leading edge of Exchange and market
reform. As a result of their forward thinking we believe that the ASX
now has one of the most investor-friendly structures of major exchanges
anywhere in the world. The success of this approach is one that we are
sure will be emulated by other Stock Exchanges, both regionally in
Asia, and in other parts of the world."
Mr. Richard Humphry, Managing Director of the Australian Stock Exchange
said, "ASX is a publicly listed stock exchange where market access is
not related to exchange ownership. As an 'inclusive' exchange, we
welcome Instinet as our newest market participant, and look forward to
a long and mutually profitable relationship."
David Horsfield, Managing Director of Instinet Australia Limited, said,
"We see enormous potential for growth in the Australian market, and
believe that our membership of the Exchange will encourage our clients
around the world to trade Australian equities in their natural home on
the ASX. We believe that increasing trading volumes and local market
liquidity benefits all investors and market participants. Instinet's
continuing remit is to improve our clients' performance by lowering
their cost of trading. Our new Australian operation will allow us to
offer the same innovative brokerage services locally that European and
US investors have used to save over USD 1 billion in trading costs
during 1998 alone."
Instinet Corporation provides agency brokerage services in equities to
investment professionals worldwide. Instinet Corporation is a
wholly-owned subsidiary of Reuters Group PLC, and through affiliates is
a member of 16 exchanges in Europe, North America and Asia.
Note for Editors:
Instinet Corporation
Instinet Corporation, a member of 17 exchanges around the world,
is a registered broker headquartered in New York City. Instinet has
1200 employees worldwide and offices in eight international financial
centres. Instinet is a pure agency broker, serving its global client
base by consistently reducing transactions costs, and thereby
increasing investment performance for investors and their proxies. The
firm was founded in 1969 and was acquired by Reuters Group PLC in 1987.
Instinet was founded on the principle that institutional investors and
the individuals they represent would welcome the ability to reduce
transaction costs and thereby improve investment performance. To
ensure this, Instinet assures its clients that their trading will be
conducted anonymously and that Instinet itself will be neutral in
transactions. At the same time, Instinet provides access to its
clients to the order flow being transacted in its order pad.
Throughout its 30 year history, Instinet has continually met its
clients' needs by offering a unique value proposition. As a result of
its pure agency status and its neutral position in all transactions,
Instinet does not compete with client trading strategies. One of the
greatest costs of trading results from revealing one's strategy,
profile, or identity to marketplace. Instinet protects its clients from
this information leakage by assuring clients' trading anonymity. This
offers clients reduced trading costs and a corresponding increase in
investment performance, which ultimately means greater value for
investors and their proxies.
As a result, Instinet Corporation has grown in size and prominence, and
now brokers virtually all equities in all time zones. Instinet's
mission is no different from that of any other global trading firm: to
secure as many investor orders as possible and execute them at the best
prices possible anywhere in the world. In order to fulfill this
mission, Instinet uses its human and technological trading skills to
enable investors and their proxies to secure best execution.
Instinet is the industry leader in applying advanced technology to
agency trading. Clients can communicate, negotiate and trade
electronically in many markets, and direct communications links are
available to accept lists of orders from clients. Instinet's
technology enables it to represent pieces of a single client order
simultaneously in multiple markets for a security. Instinet's
technology is complemented by its more traditional brokerage
services-for example, allowing clients to place orders with one of
Instinet's trading desks by telephone, often in markets where trading
is not automated. Applying advanced technology to the investment
process creates further efficiencies in Instinet's continuing effort to
reduce investor transaction costs.
Instinet was founded on the concept of providing institutional
investors and the individuals they represent with a way to execute
investment strategies in a neutral trading environment. Currently,
Instinet's clients represent more than 90% of the U.S. institutional
funds under management. These institutions saved over $1 billion in
transaction costs by trading with Instinet in 1998. The cost savings
are passed on to individual investors directly, in the form of reduced
investment management fees or through other savings on the part of
institutions.
SOURCE Instinet Corporation
-0- 05/10/99 /CONTACT: Lorrie Harte
Benwell, Director of Communications, 44-171-680-3008, or 61-2-9253-6688
- from 10/5/55 to 14/5/99, David Horsfield, Managing Director,
61-2-9253-6628, or Terrence J. Mulry, Vice President of Corporate
Communications, 212-310-9554, all of Instinet Corporation/
/Web site: instinet.com
CO: Instinet Corporation; Reuters Group PLC ST: Australia IN: FIN
SU: PDT
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