| July 02, 2021 | "Irreverent, but never irrelevant" | | |  | John Lothian
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John Lothian News | |
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$49,706/$300,000 (16.6%)
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Look! Something New To Spoof
Thom Thompson ~ John Lothian News
Every month PanXchange publishes some of the summary data they have calculated from hemp trading, collected from their trading platform and reported to them by market contacts. In addition to the indications of the ongoing weakness in many hemp prices, the June Benchmark & Analysis carried a report about what can be taken as a sign of the growing sophistication of the hemp marketplace: Hemp traders are spoofing! (Maybe not a good thing.)
Spoofing is the practice of publishing orders in a market that the spoofer does not actually intend to have filled but does intend to affect market dynamics in order to improve the price at which the spoofer actually buys or sells. If you are buying a product, you publish a large sell order into the market hoping it demoralizes competitive (true) sellers into lowering their offer prices. And then the buyer simply buys at a lowered offer price while wriggling out of his own spoofing offer if anyone tries to interact with it.
Certain features of the current hemp market structure seem to enable this. As PanXchange points out, "The market is physical only, trade data are opaque, prices and margins are tight across the supply chain, and gross oversupply of raw material is a common assumption in the marketplace."
To read the rest of this commentary, go HERE.
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Hits & Takes
John Lothian & JLN Staff
Robinhood, Robinhood and more Robinhood are the lead stories today as the various media outlets ran through the company's IPO documents for loads of fun info, including that "the free-trading app said it derives a majority of its revenue from options trading." -- Insider
Also, "Robinhood is facing more than 50 lawsuits stemming from the restrictions it put in place to manage the trading mania in January surrounding so-called meme stocks, according to the company's IPO filing." -- Insider
And, "DST Global, the late-stage firm founded by Russian-Israeli entrepreneur Yuri Milner — known for backing Facebook and Twitter — is Robinhood's biggest shareholder, owning more than 58 million shares." -- Insider
However, the top lead story is "Dark Markets Can Be a Geopolitical Force Multiplier; There are good reasons why the dark web marketplace Hydra has thrived in Russia," by Leonid Bershidsky of Bloomberg. -- Bloomberg
Today's OptionsBrewTV episode from Tradier is titled "Option Gamma Exposure and its Effects on SPX Returns" in which Jason and Lex discuss how understanding the dealers' positions can shed light on option gamma exposure and its relationship to SPX returns. The episode will be released at 10:00 a.m. Eastern Time. -- YouTube
Here are the highlights from the CME Group's second-quarter volumes compared to Q2 of 2020: Average daily volume, or ADV, increased 5%. Interest rate futures and options volume rose by 25%, including record SOFR futures ADV of 118K, an increase of more than 200%, and interest rate options volume grew by 19%. CME had record bitcoin volume for futures and options ADV of 26,575 contracts as well as record Ether futures ADV of 3,740 contracts.
On the ag side, futures and options volume increased 24%, including record volume from outside the United States. Agricultural ADV from EMEA was up 35% while ADV from Asia rose by 67%. And agricultural options ADV jumped by 76%, while corn options ADV increased 116% and soybean oil options grew by 174%. Overall options ADV grew 13% to 3.1M. On the metals side, volume rose by 9%, including a record 4.3K ADV in copper options. And lastly, foreign exchange volumes grew by 6%. -- CME Group
HKEX is celebrating the 4th anniversary of BondConnect. -- LinkedIn
The CFTC charged three individuals and three Florida companies with fraud in a multimillion dollar precious metals scheme. In shorthand that is three number one cases in each category. Precious metals fraud in Florida is a longtime and popular type of offence that JLN has shortened to just say it was a "Number One" case. BTW, can I tell you a joke? Number six! LOL! -- CFTC
Jonathan Stempel and Maria Chutchian of Reuters reported that "The Boy Scouts of America has reached an $850 million settlement with groups representing tens of thousands of men with sexual abuse claims, a major step toward addressing a deluge of accusations that sent the organization into bankruptcy." -- Reuters
We are stuck just short of $50,000 for the JLN MarketsWiki Education GoFundMe campaign. Support our efforts to preserve industry history by giving to our GoFundMe campaign.
Have a great holiday weekend (for those in the U.S.) and stay safe and treat people the same way you want to be treated: with respect, equality and justice.~JJL
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Obituary: Telerate founder Neil Hirsch dies at age 74; Former employees praise the kind and caring CEO who made millions from data but still knew staff by name.
Max Bowie - Waters Technology
Long before Michael Bloomberg launched his eponymous data business with his Salomon Brothers payout, another data vendor dominated the fixed-income data industry: Telerate, founded by Neil Hirsch, a college dropout who spotted a huge opportunity to provide fixed-income data via electronic terminals. Hirsch, who died last week at the age of 74, pioneered the growth of electronic data terminals, founding Telerate in 1969, and striking exclusive bond pricing licenses—most notably with Cantor Fitzgerald, which took a 25% stake in the vendor—that sent its value soaring.
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*****We have lost a pioneer. ~JJL
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How Covid Helped Heists, Hoaxes, Scams, Cons, and Other Mischief
Car thefts, porch piracy, medical fraud, and all kinds of other grifts boomed during the pandemic.
Dorothy Gambrell - Bloomberg
The pandemic was a bonanza for streaming media services, real estate brokers, and bulk toilet tissue suppliers. It also wasn't bad for bike thieves, sellers of dubious financial products, and members of obscure royal families who just so happen to be sitting on an enormous fortune they'd love to share if only you'd wire them $10,000 in cash today.
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****** All kinds of mischief in this story with lots of graphics. ~JJL
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Richard Branson will fly into space on July 11, beating rival Jeff Bezos by 9 days
William Harwood - CBS News
Richard Branson, the billionaire founder of Virgin Galactic, will fly into space aboard his company's VSS Unity rocketplane on July 11 for an up-and-down test flight, beating Amazon-founder and rival Jeff Bezos into sub-orbital space by nine days. The announcement from Virgin came just a few hours after Bezos announced that aviation pioneer Wally Funk will be joining him, his brother Mark and the yet-to-be named winner of an online auction for blastoff July 20 aboard his company's New Shepard spacecraft.
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***** To infinity and beyond!!!! ~JJL
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Thursday's Top Three
Our top story Thursday was Robbing the Xbox Vault: Inside a $10 Million Gift Card Cheat, from Bloomberg Businessweek. As John said yesterday, the story "has it all." Second was a story with an even bigger number in it - Robinhood ordered to pay $70m penalty to US regulator, from The Financial Times. Third was another Financial Times story, How to cope with the climate apocalypse. It is subtitled 'A not entirely gloom-and-doom plan of action,' if that makes you feel any better.
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MarketsWiki Stats
26,442 pages; 234,114 edits
MarketsWiki Statistics
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| Lead Stories | Dark Markets Can Be a Geopolitical Force Multiplier; There are good reasons why the dark web marketplace Hydra has thrived in Russia.
Leonid Bershidsky - Bloomberg
This week, Germany's biggest tabloid, Bild, is reporting a major hacking attack from Russia on the German banking system and naming "the state Russian hackers from the 'Fancy Lazarus' group" as the culprits. If the attack really took place — there is no official confirmation so far — it will, as usual, be hard to pin definitively on Russian state actors, even if cybersecurity experts blame them. The group of cyber-extortionists known as "Fancy Lazarus" could just as easily be linked to China, North Korea or no government at all.
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Robinhood's Finra Settlement Highlights Growing Pains of Fintech Firms; The fast-growing online brokerage company, which officially filed for an IPO, has beefed up its legal and compliance teams
Mengqi Sun - WSJ
Robinhood Financial LLC's settlement with a Wall Street regulator highlights the scrutiny and compliance challenges financial technology companies could face as they transition from startups to publicly traded companies, experts said. Robinhood agreed to pay nearly $70 million to resolve allegations the brokerage misled customers, approved ineligible traders for risky strategies and didn't supervise technology that failed and locked millions out of trading, according to the agreement with the Financial Industry Regulatory Authority that became public Wednesday. The settlement is the largest ever levied by Finra.
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Robinhood IPO Filing Shows Power of the Meme-Stock Boom; Trading app, which plans to list on Nasdaq, generated $522 million of revenue in first quarter, more than quadruple its level from a year earlier
Peter Rudegeair and Corrie Driebusch - WSJ
Robinhood Markets Inc. unveiled striking growth figures Thursday in the paperwork for its long-awaited initial public offering—and a long list of growing pains. The stock-trading app counted 18 million users with funded accounts at the end of March, more than double a year earlier. Revenue in the first quarter of 2021 more than quadrupled to $522 million. The daily average number of cryptocurrency trades on Robinhood expanded by a factor of 14, and net value of cryptocurrencies held in Robinhood users' accounts rose to $11.6 billion from $481 million.
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The five most revealing numbers in the Robinhood IPO prospectus; Fast-growing but controversial brokerage readies hotly-anticipated flotation
Madison Darbyshire and Miles Kruppa - FT
Robinhood has radically reshaped the brokerage industry with a free and easy to use app that has pulled new retail investors into the market en masse, but as a private company its own finances have been closely guarded. That changed on Thursday with the publication of the prospectus for its initial public offering, which provided the first comprehensive look at the underpinnings of its business, earnings and potential risks for investors.
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Robinhood Spreads the Wealth and Takes a Risk; The retail broker can live up to its ethos of democratizing finance by selling its customers its IPO, but the move is a gamble if the shares perform poorly or if it faces technical snafus
Telis Demos - WSJ
Robinhood Markets is going public and bringing some friends along for the ride. The red-hot online brokerage filed paperwork Thursday for its long-anticipated initial public offering. It revealed that it may reserve approximately 20% to 35% of its offering for its own customers. For investors who are trying to evaluate this deal, it is hard to figure what that means regarding how Robinhood's shares might trade.
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Robinhood Wants You to Buy Robinhood Stock on Robinhood; The trading app is allocating up to 35% of its IPO shares to individual investors, part of a strategy to bring IPO investing to the masses
Peter Rudegeair - WSJ
Robinhood Markets Inc. wants its users to buy stock. The online brokerage firm's own, that is. The popular stock-trading app plans to set aside as much as 35% of shares in its coming initial public offering for individual investors, the company said in a regulatory filing on Thursday, a much larger retail allocation than in a typical deal. Robinhood wants people to sign up to buy the shares on its new platform that gives users access to IPOs before they start trading.
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ECB to crack down on dangerous risks in banks' leveraged lending; Central bank's head of supervision Andrea Enria cites the heavy losses banks suffered in Archegos debacle
Martin Arnold - FT
Banks are too complacent about the excessive risks building up in leveraged loan and equity derivative markets and can expect higher capital requirements as a result, the European Central Bank's head of supervision has warned.
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Robinhood Says U.S. Demanded Access to CEO Tenev's Phone Records
Jesse Westbrook - Bloomberg
Robinhood Markets Inc., dogged by fines and regulatory scrutiny, revealed several new inquires from state and federal watchdogs as it seeks to sell shares in one of the year's most anticipated public offerings.
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Robinhood Warns of Meme-Stock Risk as Users Participate in IPO
Crystal Tse - Bloomberg
Robinhood Markets Inc. basically created meme stocks. Now the popular trading app is warning investors that it could become one. The reason -- outlined in its initial public offering prospectus Thursday -- comes down to the novice investors that love its easy-to-use platform and have driven frenzied trading in names like GameStop Corp. and AMC Entertainment Holdings Inc.
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Why the Fed is getting worried about the most boring thing in crypto
Zack Guzman - Yahoo Finance
Unlike crypto critics who attack bitcoin and other cryptocurrencies for being too volatile, the Federal Reserve is increasingly sounding the alarm over investigating the coins that set out to be far more boring: stablecoins.
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Retail traders were outraged when Robinhood restricted trading in memes stocks, but the company's IPO filing shows active users still grew by 6 million in the 1st quarter
Natasha Dailey - Insider
Robinhood users were outraged in January when the company halted buying of GameStop and other meme stocks amid an epic rally - but that didn't dissuade 6 million new active users from trading on the app.
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Days after Charlie Munger called Robinhood 'a gambling parlor,' the free-trading app revealed options trading as its largest source of revenue
Matthew Fox - Insider
Just two days after Charlie Munger of Berkshire Hathaway called Robinhood "a gambling parlor," the free-trading app said it derives a majority of its revenue from options trading.
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Robinhood slashed how much it spends to nab each new customer. Here's how it did it.
Carter Johnson - Insider
Customer acquisition cost, or CAC, is crucial for consumer-facing startups relying on scale to grow their business. The higher the CAC, the more a company spends to attract new people to its service.
/jlne.ws/36anH1g
Schwab to Take $200 Million Charge on SEC Investigation
Michael J Moore - Bloomberg
Charles Schwab Corp. said it is cooperating with an investigation by the Securities and Exchange Commission and will take a $200 million charge related to the probe in its second-quarter results. The inquiry relates to disclosures around the firm's Schwab Intelligent Portfolios product, according to a regulatory filing Friday. The company said its ultimate liability from the matter may differ from the amount it's earmarking now.
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Robinhood Reveals Surging Loss This Year After 2020 Profit
Katie Roof, Crystal Tse and Annie Massa - Bloomberg
First-quarter loss of $1.44 billion run up in meme stock craze; Robinhood to have triple-class share structure after IPO
Robinhood Markets Inc. filed for an initial public offering, disclosing it became profitable last year only to have its losses skyrocket in the first quarter amid the so-called meme stock frenzy, in what's expected to be one of the highest-profile listings the year.
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Robinhood targets valuation of at least $40bn in IPO; Trading platform's prospectus reveals explosive growth and regulatory scrutiny
Madison Darbyshire and Miles Kruppa - FT
Robinhood, the online brokerage associated with the surge in day trading by retail investors, is targeting a valuation of $40bn or more in its initial public offering, said people familiar with the plans, as the company published its fundraising prospectus on Thursday.
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The time is ripe for the EU to tackle money laundering; Creating a new supervisory agency may help, but better regulation is essential
Karel Lannoo - FT
It's estimated that 2-5 per cent of global economic output is laundered annually, with an overall recovery rate of illicit assets at just 1.1 per cent in Europe. Tackling money laundering is a longstanding priority, but one pursued so far with limited success. In the meantime, crime proliferates and citizens see that the rule of law does not work. The European Commission is to announce an anti-money laundering plan this month, but a new approach is needed.
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Wells Fargo Acted Like a 'Mafia' to Suppress Internal Critics, Former Executive Said; Alicia Reyes, who led the bank's European investment bank, said the lender swept regulatory problems under the carpet, according to evidence in a U.K. court
Simon Clark - WSJ
A former top Wells Fargo WFC 0.26% & Co. executive in London said the lender had a flawed compliance culture and executives acted like a mafia to suppress internal critics, according to a recorded phone call submitted to a U.K. court. Alicia Reyes was chief executive of Wells Fargo's European investment bank. She left the bank in January 2020 and criticized the lender in an April 2020 telephone call with a former Wells Fargo contract worker who is suing for unfair dismissal after he raised concerns internally about compliance failings in the U.K.
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Trayport's Acquisition of Tradesignal GmbH
Global Legal Chronicle
Trayport Limited (Trayport), a wholly owned subsidiary of TMX Group, has entered into an agreement to acquire Tradesignal, a leading provider of rule-based energy trading and analysis solutions. Trayport is the primary network and platform for European wholesale energy markets.
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London Edges Back Ahead of Amsterdam as Europe's Trading Hub
Ksenia Galouchko and Tom Metcalf - Bloomberg
U.K. capital regains crown for first time this year, Cboe says; Share trading in London still far below pre-Brexit levels
London moved back ahead of Amsterdam as Europe's largest share trading center in June, reclaiming the top spot for the first time this year after Brexit pushed much of the city's volumes to the continent. An average 8.92 billion euros ($10.6 billion) of shares a day were traded on various London venues in June, compared with 8.8 billion euros for various Dutch venues, according to data from Cboe Europe.
/jlne.ws/2UZOjzE
Brexit-Battered London Spars With Paris for Green Finance Crown; The home of JPMorgan's new European trading hub has emerged as a surprising contender to lead the green finance industry that could reach $53 trillion by 2025.
Alastair Marsh and Silla Brush - Bloomberg
As JPMorgan Chase & Co. chief Jamie Dimon made clear this week, Paris keeps chipping away at London's financial dominance. The next prize at stake: becoming the global capital of green banking, and the trillions of dollars of deal flow that will bring.
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Singapore's MAS Seeks More Powers To Probe Financial Misconduct
Melissa Cheok - Bloomberg
The Monetary Authority of Singapore is seeking feedback on a proposal to strengthen its ability to gather evidence by allowing its officers to enter premises without prior notice or a court warrant during investigations into financial misconduct.
/jlne.ws/3yhBsqY
UK targets SIs, dark trading and consolidated tape in post-Brexit regulatory roadmap; Several documents published by the UK government outlined major plans, including details on the sweeping changes to MiFID II requirements.
Hayley McDowell - The Trade
The UK Treasury has published its capital markets review consultation that outlines its most detailed plans for sweeping changes to key MiFID II requirements in a post-Brexit world. Under the government's plans, MiFID II regulatory requirements for systematic internalisers (SIs), the share trading obligation (STO), dark trading restrictions and the tick size and transparency regimes will be overhauled.
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| Wellness Exchange | | An Exchange of Heath and Wellness Information | Digital vaccination cards go into effect in Europe, with some turbulence
Elian Peltier - NY Times
Digital Covid-19 certificates aimed at facilitating free movement in the European Union came into force across the bloc on Thursday, a long-awaited milestone for countries hoping to boost their ailing tourism industries — but also a point of friction over the number of vaccines that do not qualify.
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Six Fully Vaccinated People Died of Covid-19 in Most-Vaccinated Nation
Vidya Gappy and Antony Sguazzin - Bloomberg
Of those five had taken Covishield and one Sinopharm; Island nation is the world's most heavily vaccinated
The coronavirus has killed six fully vaccinated people in the Seychelles, which is suffering heightened Covid-19 infections despite inoculating a greater proportion of its people than any other nation.
/jlne.ws/3yjsWHE
J&J Covid Shot Neutralizes Delta Variant, Company Says
Riley Griffin - Bloomberg
Single-shot vaccine's protection increases after injection; Company says it plans August reading on a two-shot regimen
Johnson & Johnson said that its single-shot coronavirus vaccine neutralizes the fast-spreading delta variant and provides durable protection against infection more broadly.
/jlne.ws/2UW8MFn
India Surpasses 400,000 Deaths; Delta in Focus: Virus Update
Joanna Ossinger and Jon Menon - Bloomberg
India has exceeded 400,000 Covid-related deaths, marking a grim milestone for the nation with the third-highest number of fatalities. The "hyper-transmissible" delta variant may eclipse other virus mutations in the U.S. within weeks, CDC Director Rochelle Walensky said. Some 1,000 U.S. counties with low vaccination rates, notably in the Southeast and Midwest, are particularly vulnerable. And Australia plans to cut international arrivals in half to fight the delta variant.
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Want to Survive the Stocks Bubble? There Are Ways; You don't need to time the market: Just avoiding the momentum plays has shown surprisingly good results in the past.
John Authers - Bloomberg
Wait for It
Businesses are still bedeviled by post-pandemic logjams. There are signs of improvement, and they are enjoying growth, but the upward pressure on prices is still intense, and growing. That was the main readthrough from Thursday's regular download of monthly data.
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| Exchanges, OTC & Clearing | | Top news from exchanges, clearing, settlement and trade execution facilities | OCC June 2021 Total Volume Up 25.6 Percent from a Year Ago:
Second highest month in OCC's history; highest June on record
OCC
OCC, the world's largest equity derivatives clearing organization, announced today that June 2021 total cleared contract volume was 870,149,871 contracts, the second highest month in OCC's history and up 32.7 percent compared to June 2020. Year-to-date average daily cleared contract volume through June was 39,400,310 contracts, up 25.6 percent compared to June 2020.
/bit.ly/36mShF3
Cboe Announces Launch of New Cboe 3-Month Implied Correlation Index
Cboe Global Markets, Inc.
New volatility-related benchmark index provides three-month, constant maturity representation of implied correlation for the S&P 500 Index; Aims to help market participants better understand factors driving volatility and implement dispersion trading strategies; Index values are disseminated four times per minute during the trading day
Cboe Global Markets, Inc. (Cboe: CBOE), a leading provider of global market infrastructure and tradable products, today announced it is publishing intraday values for the Cboe 3-Month Implied Correlation Index (ticker symbol: COR3M), a new benchmark index that is designed to provide market participants with further granularity into some of the factors driving volatility in the equity markets.
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CME Group Reports Q2 and June 2021 Monthly Market Statistics
CME Group
CME Group, the world's leading and most diverse derivatives marketplace, today reported its Q2 and June 2021 market statistics, showing it reached average daily volume (ADV) of 18.4 million contracts for both the second quarter and the month of June. Market statistics are available in greater detail at https://cmegroupinc.gcs-web.com/monthly-volume.
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The Spanish stock market trades 34 billion euros in June
BME
The Equity trading volume in June was up 4.9% from the preceding month and the number of trades 0.5%; New Fixed-income issues in June amounted to 39.5 billion euros, up 40.7%; In June trading in Stock Futures increased by 46.3% year on year
The Spanish stock market traded 34 billion euros in Equities in June, up 4.9% from the preceding month and 32.4% lower year on year. The number of trades in June was 3.48 million, a 0.5% increase compared to May and down 41.8% year on year.
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NYSE ARCA Options: July 2021 Pricing Changes
NYSE
On July 1, 2021, pending effectiveness of a regulatory filing, NYSE Arca Options (the "Exchange") will modify its Fee Schedule to introduce an alternative requirement for its Non-Penny Customer Posting Credit Tier F and an additional means of qualifying for a Take Fee Discount for executions in Penny Issues.
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Updated Limit Up Limit Down Tier 1 ETP List
NYSE
NYSE Arca, in coordination with other listing exchanges, has updated the list of Exchange Traded Products eligible for Tier 1 of the Limit Up Limit Down program. The updated list of ETPs, effective July 1, 2021, as well as the additions and deletions from the current Tier 1 list, can be found here.
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MGEX Reports June as the Second-Best Month in History
MGEX
MINNEAPOLIS, MN - MGEX, a Designated Contract Market (DCM) and Derivatives Clearing Organization (DCO), reports that this past month was the 2nd best month in the history of the Exchange with a grand total of 412,672 contracts traded. This is the first time MGEX has reached over 400,000 contracts since June 2017. Compared to May, June saw a 58% increase in total volume.
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AMA Corporation Plc lists on Euronext Growth Paris; EUR36 million raised - market capitalisation of EUR146 million
108th listing on Euronext in 2021
Euronext
Euronext today congratulates AMA Corporation Plc, developer of B2B software solutions for the smart workplace, on its listing on Euronext Growth Paris (ticker code: ALAMA).
/jlne.ws/3qG1ZLT
Biotalys lists on Euronext Brussels; EUR54.6 million raised - market capitalisation of approx. EUR232 million
Euronext
Euronext today congratulates the agricultural technology (AgTech) company Biotalys on its IPO on Euronext Brussels (ticker code: BTLS). Biotalys is an AgTech company focused on addressing food protection challenges with protein-based biocontrol solutions for more sustainable and safer food. Biotalys was founded in 2013 as a spin-off from the VIB (Flanders Institute for Biotechnology) and its headquarters are located in the vibrant biotech cluster in Ghent, Belgium.
/jlne.ws/3hsx7u5
Odyssey Acquisition S.A. lists on Euronext Amsterdam; Successfully raising EUR300 million; 11th SPAC listing on Euronext's markets in 2021
Euronext
Euronext today congratulates Odyssey Acquisition S.A., a newly formed Special Purpose Acquisition Company (SPAC) focusing on the European Healthcare and TMT (technology, media and telecom) sectors, on its listing on Euronext Amsterdam (ticker code: ODYSY). It is the 11th SPAC listing on Euronext markets year to date.
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Expansion of Eurex TES Basket Trades Functionality for Equity Bespoke Baskets (EBB)
Eurex
The Management Board of Eurex Deutschland took the following decisions with effect from 26 July 2021:
Introduction of Equity Bespoke Baskets (EBB) functionality for Single Stock Futures, Single Stock Dividend Futures and Stock Tracking Futures; and Amendment of the Contract Specifications for Futures Contracts and Options Contracts at Eurex Deutschland as outlined in Attachment 1.
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Mister Spex SE new in the Prime Standard of the Frankfurt Stock Exchange
Deutsche Börse Group
Mister Spex SE (ISIN: DE000A3CSAE2 ) has been listed in the Prime Standard of the Frankfurt Stock Exchange since today. The first price of the share was 25.38 euros, the issue price 25.00 euros. The IPO was accompanied by Barclays, Berenberg, Jefferies, Bryan Garnier Securities, Commerzbank and Quirin Privatbank. Berenberg acts as Designated Sponsor in Xetra trading. Baader Bank is the specialist at the Frankfurt Stock Exchange.
/jlne.ws/2TsdUAN
ICE Announces Record Growth in North American Environmental Products as the Market Prices Climate Risk
Intercontinental Exchange, Inc.
Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced record growth in ICE's North American environmental complex as increasing numbers of participants use these markets to price and manage climate risk.
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Notice of Summary Action
CME Group
MEMBER FIRM: HSBC SECURITIES (USA) INC.
RULE VIOLATION: Rule 576. IDENTIFICATION OF GLOBEX TERMINAL OPERATORS
Each Globex terminal operator shall be identified to the Exchange, in the manner prescribed by the Exchange, and shall be subject to Exchange rules. If operator IDs are required to be registered with the Exchange, it is the duty of the clearing member to ensure that registration is current and accurate at all times. Each individual must use a unique operator ID to access Globex. In no event may a person enter an order or permit the entry of an order by an individual using a user ID other than the individual's own unique user ID.
PENALTY: On June 16, 2021, HSBC Securities (USA) Inc., pursuant to Rule 512 ("Reporting Infractions"), was collectively issued a $4,000 fine for its violation of Rule 576. The allocation of the fine across exchanges is based on the activity at each Designated Contract Market.
CME $2,000, CBOT $2,000, Total Fine $4,000
/jlne.ws/2UhCYL0
Notice of Summary Action
CME Group
MEMBER FIRM: HSBC SECURITIES (USA) INC.
RULE VIOLATION: Rule 576. IDENTIFICATION OF GLOBEX TERMINAL OPERATORS
Each Globex terminal operator shall be identified to the Exchange, in the manner prescribed by the Exchange, and shall be subject to Exchange rules. If operator IDs are required to be registered with the Exchange, it is the duty of the clearing member to ensure that registration is current and accurate at all times. Each individual must use a unique operator ID to access Globex. In no event may a person enter an order or permit the entry of an order by an individual using a user ID other than the individual's own unique user ID.
FINDINGS: During the period of January 1, 2021 to March 31, 2021, HSBC Securities (USA) Inc. violated Rule 576 by failing to maintain current and accurate information in the Exchange Fee System.
PENALTY:On June 16, 2021, HSBC Securities (USA) Inc., pursuant to Rule 512 ("Reporting Infractions"), was collectively issued a $4,000 fine for its violation of Rule 576. The allocation of the fine across exchanges is based on the activity at each Designated Contract Market.
CME $2,000, CBOT $2,000, Total Fine $4,000
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July 2021 Stock, ETF, and Corporate Bond Update- Effective July 01, 2021
CME Group
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Adding Customer Account Tag on FIXML Assignment Reports By Default - Effective July 26, 2021
CME Group
Please be advised that in follow-up to CH Advisory 21-157, CME Clearing announced a change to the FIXML Reports produced as a result of the Options Exercise and Assignment process. With that change, which became effective Monday, June 28, 2021, only the records on the Exercise Report (ExerRpt) started including Customer Account (Pty Role 24) FIXML tag, by default.
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Declaration of Regularity Renewal in Base Metal Warehouses
CME Group
Applications for declaration of regularity for the delivery of COMEX Aluminum, Copper, Lead, and Zinc have been reviewed by the Exchange.
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Declaration of Regularity Renewal in Precious Metal Depositories
CME Group
Applications for declaration of regularity for the delivery of COMEX Gold, COMEX Gold (Enhanced Delivery), COMEX Gold Kilo, COMEX Silver, NYMEX Platinum, and NYMEX Palladium have been reviewed by the Exchange.
/jlne.ws/3xh5hb4
Product Modification Summary: Reduction of the Minimum Price Increment and Related Amendments to the CME Globex Non-Reviewable Trading Ranges Table of the New Zealand Dollar/U.S. Dollar ("NZD/USD") Futures Contract
CME Group
Reduction of the Minimum Price Increment and Related Amendments to the CME Globex Non-Reviewable Trading Ranges Table of the New Zealand Dollar/U.S. Dollar ("NZD/USD") Futures Contract.
/jlne.ws/2UmFwqX
Product Modification Summary: Expansion of the Basis Trade at Cash Open ("TACO") Trading Session on CME Globex for the E-mini S&P 500 Futures, E-mini Nasdaq-100 Futures, Emini Russell 2000 Index Futures and Basis Trade at Index Close ("BTIC") Trading Session on CME Globex for Yen Denominated Nikkei Stock Average Futures and USD Denominated Nikkei Stock Average Futures Contracts
CME Group
Expansion of the Basis Trade at Cash Open ("TACO") Trading Session on CME Globex for the E-mini S&P 500 Futures, E-mini Nasdaq-100 Futures, Emini Russell 2000 Index Futures and Basis Trade at Index Close ("BTIC")
Trading Session on CME Globex for Yen Denominated Nikkei Stock Average Futures and USD Denominated Nikkei Stock Average Futures Contracts
/jlne.ws/365X0dN
Declaration of Regularity Renewal in Ethanol Facilities
CME Group
Applications for the declaration of regularity for the delivery of Ethanol have been reviewed by the Exchange.
/jlne.ws/3xdektB
Reduction of the Minimum Price Increment and Related Amendments to the CME Globex Non-Reviewable Trading Ranges Table of the New Zealand Dollar/U.S. Dollar ("NZD/USD") Futures Contract
CME Group
/jlne.ws/2UktX3w
Revision of the Trading Rules for ETFs, etc.
JPX
The Tokyo Stock Exchange, Inc. (TSE) will revise the trading rules for ETFs, etc. as follows, with the aim of further protecting investors and improving convenience.
/jlne.ws/3xcm4Mo
Tokyo Stock Exchange to Conduct a Survey on Disclosures in English by Japanese Companies
JPX
Tokyo Stock Exchange, Inc. (TSE) is conducting a survey* on disclosures in English by listed companies to investors. This survey is aimed at encouraging disclosures in English based on the needs of overseas investors by identifying the information that they need and providing feedback of those responses to the listed companies. Please refer to the attached file for details.
/jlne.ws/3AfQ1gl
CME SOFR Futures Reach Record Volumes
Shanny Basar - Traders Magazine
CME Group's SOFR futures reached record trading volumes after the last Federal Open Market Committee meeting and as regulators have urged a shift from the Libor reference rate. Five-day average daily volumes in CME's SOFR futures rose to 223,000 contracts, including on the day of the FOMC meeting.
/jlne.ws/3xg2oqN
Boerse Stuttgart Records June Turnover Of Around EUR 7,8 Billion - Bonds And Investment Products Show Increase In Trading Volume Compared To The Previous Month
MondoVisione
Based on the order book statistics, Boerse Stuttgart generated turnover of around EUR 7,8 billion in June 2021. Securitised derivatives made up the largest share of the turnover. The trading volume in this asset class was around EUR 3,2 billion. Leverage products generated turnover of around EUR 2,2 billion. Investment products contributed over EUR 980 million to the total turnover - an increase of around 13 per cent compared to the previous month.
/jlne.ws/36asfV6
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| Fintech | | A roundup of today's market tech news and a look at tomorrow's disruptors | Options traders are fired up about fintech as big banks splash cash
Tyler Bailey - CNBC
JPMorgan's acquisition of OpenInvest, a San Francisco-based ESG start-up, marks its third fintech deal in the past year. The recent uptick in buying has options traders speculating about who could be the next takeout target in the fintech space.
One name seeing a major increase in activity is SoFi Technologies, another San Francisco-based company specializing in mobile-first loan refinancing, mortgages and other financial products.
/jlne.ws/3hwMOAi
JPMorgan to buy ESG-focused fintech startup OpenInvest
Reuters
JPMorgan Chase & Co (JPM.N) said on Tuesday it would buy OpenInvest, a fintech startup backed by Andreessen Horowitz and Y Combinator.
Founded in 2015, OpenInvest's products allow financial advisers to build, manage and report on their environmental, social, and governance (ESG) portfolios, according to its website. It also offers ESG investment management products.
/jlne.ws/3Ag8QA9
Apollo to Take Stake in Fintech Investor Motive Partners
Miriam Gottfried - WSJ
Apollo Global Management Inc. agreed to take a stake in financial-technology investor Motive Partners, a move aimed at beefing up the private-equity giant's own technology.
Apollo is to buy up to 24.9% of Motive, the firms announced Thursday, confirming an earlier report by The Wall Street Journal. The deal values the smaller private-equity firm at around $1 billion, according to people familiar with the matter.
/jlne.ws/2Tt9ycE
Brown Brothers Harriman continues AI 'transformation' of fund accounting unit; A new tool that helps business users test and validate their own POCs is set to join the bank's ranks alongside its other AI projects implemented over the last two years: Linc, Guardrail, and Ants.
Rebecca Natale - Waters Technology
Brown Brothers Harriman has been busy—so busy that in the past two years, the bank's investor services unit has delivered three large-scale tech platforms underpinned by various forms of artificial intelligence, and is set to roll out a fourth to its internal users in July. The most recently implemented project, Guardrail, was completed in 2020 and is part of an ongoing endeavor to radically transform its fund accounting process. It expanded upon one of BBH's first AI projects in the division
/jlne.ws/3AjF8tV
Santander Bank Polska deploys Horizon algo platform for market making; Horizon and Santander Polska first collaborated in 2019 to bring market making in equities and derivatives on the Warsaw Stock Exchange.
Annabel Smith - The Trade
Santander Bank Polska has partnered with trading technology provider Horizon Software to deploy its market making platform on the Warsaw Stock Exchange (WSE).
/jlne.ws/2SICM73
Broadridge Acquires Innovative Compliance and Surveillance Solution for Broker-Dealers
Broadridge Financial Solutions, Inc
Broadridge Financial Solutions, Inc. (NYSE:BR), a global Fintech leader, today announced that it is further enhancing its regulatory compliance capabilities for broker-dealers with the acquisition of the cloud-based Execution Compliance and Surveillance Service (ECS) assets from Jordan & Jordan. The solution provides a combination of surveillance and regulatory reporting as well as compliance consulting capabilities for US regulations.
/jlne.ws/3hchPLb
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| Cybersecurity | | Top stories for cybersecurity | Corruption, Cybercrime Top List of U.S. Anti-Money-Laundering Concerns; Financial institutions had hoped prioritization of anti-money-laundering threats would help them more efficiently tailor their compliance programs
Dylan Tokar - WSJ
The U.S. Treasury Department on Wednesday issued a wide-ranging set of national anti-money-laundering priorities, naming corruption and cybercrime among the areas where financial institutions should focus their compliance resources.
/jlne.ws/3hdP2pD
Hackers Flock to Where the Money Is, Spreading Ransomware Woes
Andrew Martin, Demetrios Pogkas and Mathieu Benhamou - Bloomberg
Hackers used to try to infiltrate computer networks to steal valuable information, such as intellectual property, credit card details and Social Security numbers. That still happens. But increasingly, criminal hackers are resorting to ransomware attacks in part because the range of potential victims is so much greater.
/bloom.bg/2UkV4M9
Top Pentagon Cyber Official Probed Over Disclosure Concerns
Anthony Capaccio - Bloomberg
The Pentagon official who has been overseeing its new cybersecurity initiative for defense contractors has been placed on leave in connection with a suspected unauthorized disclosure of classified information from a military intelligence agency, according to an official document.
/bloom.bg/3jB0DQZ
Partners Release Cybersecurity Advisory on Brute Force Global Cyber Campaign by Russian Intelligence
FBI National Press Office - FBI.gov News
The Federal Bureau of Investigation (FBI), National Security Agency (NSA), Cybersecurity and Infrastructure Security Agency (CISA), and the UK's National Cyber Security Centre (NCSC) released a Cybersecurity Advisory today exposing malicious cyber activities by Russian military intelligence against U.S. and global organizations. The activities occurred from at least mid-2019 through early 2021.
/bit.ly/3xeVEcH
The Cybersecurity Executive Order: Bringing Zero Trust Networking Into The Public Discourse
Amit Bareket - Forbes
The recent executive order on cybersecurity is great news for all of us. While it directly affects federal agencies and their networks, the reality is that the idea of a federal network, a corporate network or even a home network is passé. There is just one network today, and it's called the internet. And we're all connected to it.
/bit.ly/2Tt9z0c
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| Cryptocurrencies | | Top stories for cryptocurrencies | Singapore to Follow Up With Binance in Wake of Global Crackdown
Chanyaporn Chanjaroen - Bloomberg
Binance Asia has applied for license to operate in Singapore; Binance, affiliates face scrutiny in the U.S., U.K. and Japan
Singapore's financial regulator said it would follow up as required with the local unit of Binance Holdings Ltd. after its parent company came under scrutiny from authorities around the world.
/jlne.ws/2SFJlam
Video: Bitcoin Mining With Stranded Energy
Bloomberg
Some Bitcoin mining companies are claiming to be going green. With energy consumption at the forefront of the crypto community, Quicktake looks at how one company is using stranded energy to hit the goals of the Crypto Climate Accord.
/jlne.ws/3hrgXRQ
Transcript: This Is the Vision for DeFi Built on Bitcoin
Joe Weisenthal and Tracy Alloway - Bloomberg
We've been talking a lot about DeFi lately. Much of it kind of represents a new, post-Bitcoin of what can be done with blockchains and cryptocurrency. But while many in the Bitcoin world are content to see it as digital gold and just leave it at that, many others are interested in doing more with it. On this week's episode, we spoke with Alyse Killeen — a venture capitalist in the Bitcoin space — about how DeFi is being built upon Bitcoin. Below is a lightly edited transcript.
/jlne.ws/3dy1cHl
Stablecoins could trigger credit market contagion, warns Fitch; Rating agency says large reported reserves behind digital assets build case for tighter regulation
Eva Szalay - FT
Stablecoins pose a growing systemic risk to financial markets, according to rating agency Fitch, which warned that short-term credit markets could be destabilised in the event of a stampede to convert cryptocurrencies into traditional money.
/jlne.ws/3qF9t1E
Bitcoin billionaire Mircea Popescu dead, leaving $2B fortune in limbo
Will Feuer - NY Post
Controversial Bitcoin billionaire Mircea Popescu, 41, has suddenly died, leaving behind a massive crypto fortune that could be worth as much as $2 billion — which some speculate could be lost forever. Popescu, known for being among the largest individual holders of Bitcoin in the world at one point, drowned last week off the coast of Costa Rica near Playa Hermosa after going for a morning swim, according to local news reports.
/jlne.ws/3qJb9Yc
Robinhood warns it could be hurt if interest in Dogecoin wanes
Will Feuer - NY Post
Commission-free trading app Robinhood warned investors on Thursday that its fortunes may be tied to a cryptocurrency that got its start as a joke. In revealing its financials for the first time while filing to go public, Robinhood said Dogecoin accounted for 34 percent of its cryptocurrency transaction-based revenue in the first quarter, up from 4 percent in the prior quarter. Any slowdown in demand, it said, could adversely affect its financial results.
/jlne.ws/3wdpE7q
Crypto Arb Fund Piles Into Cash After Basis Trade Collapse
Anchalee Worrachate - Bloomberg
Nickel Digital Asset Management has put its flagship arbitrage-strategy fund largely into cash after the recent collapse of one the cryptocurrency market's most reliable trades, a move that's the antithesis of the sector's conventional narrative.
/jlne.ws/3dClUpI
Crypto exchange Binance hit by criminal complaint from Thai regulators
Noor Zainab Hussain and Tom Wilson - Reuters
Thailand's financial watchdog filed a criminal complaint against cryptocurrency exchange Binance on Friday for operating a digital asset business without a licence, the latest in a string of crackdowns on the platform by regulators globally.
/jlne.ws/3Af1FIi
Crypto Hedge Fund Piles Into Cash After Once-Reliable Trade Goes South
Anchalee Worrachate - Bloomberg
Nickel Digital CEO says it awaits new trading opportunities; Fund returns remain positive despite recent market downturn
Nickel Digital Asset Management has put its flagship arbitrage-strategy fund largely into cash after the recent collapse of one the cryptocurrency market's most reliable trades, a move that's the antithesis of the sector's conventional narrative.
/jlne.ws/3xdUQVD
Anti-Vaxxer Propaganda Spreads in Asia, Endangering Millions
Andreo Calonzo and Kwan Wei Kevin Tan - Bloomberg
False claims, limited choice of shots slow vaccination drive; Videos from U.S. anti-vaxx groups circulating in Philippines
Though Gerry Casida is on the priority list for a free Covid-19 vaccine in the Philippines because of his asthma, he's isn't planning to get the shot any time soon. A video he found on social media of a woman claiming vaccines are being used for genocide helps explain why.
/jlne.ws/3wdz6Ys
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| Politics | | An overview of politics as it relates to the financial markets | Sunak unveils post-Brexit City reforms; Chancellor says proposals represent 'a new chapter for financial services'
Philip Stafford, Ian Smith and Nicholas Megaw - FT
Rishi Sunak has unveiled a series of reforms designed to boost the City of London's global pull for share trading and listings, following the loss of business after Brexit.
/jlne.ws/3xbGcxT
US Rep. Scott inspires students to think big about financial service careers; FIA hosts David Scott, Chairman of the House Agriculture Committee, for a discussion with Greenwood Project interns
Kyle Glenn - FIA
FIA President and CEO Walt Lukken hosted US Rep. David Scott (D-Ga.), Chairman of the House Agriculture Committee, for a "lunch and learn" conversation with college students participating in Greenwood Project's Summer Internship Program. The US House Agriculture Committee oversees the US Commodity Futures Trading Commission, and has jurisdiction over the futures markets.
/jlne.ws/2TjBGiw
Global Taxation Nears Historic Deal Amid Last-Minute Hurdles
Christopher Condon and William Horobin - Bloomberg
Approval by EU members, U.S. Congress could be tricky; India says significant issues remain, China sidesteps queries
The Biden administration and global allies scored a major victory Thursday in their push for a more balanced international corporate tax system, but still face multiple significant obstacles to completing an ambitious plan that has been years in the making.
/jlne.ws/3dCnjwy
Thai SEC and Cayman Islands regulator take action on Binance; Thai SEC and the Cayman Islands Monetary Authority are the latest regulators to join the global scrutiny against Binance.
Cointelegraph
Binance, the leading cryptocurrency exchange by trade volume, continues to face scrutiny from regulators regarding the legality of its operations in certain countries. Thailand's Securities and Exchange Commission (SEC) and the Cayman Islands Monetary Authority (CIMA) are the latest financial regulators to announce a regulatory crackdown on Binance.
/jlne.ws/3xheRdR
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| Regulation & Enforcement | | For more regulatory, visit MarketsReformWiki, our website focused on current market reform efforts. | Melbourne man charged with multiple counts of market manipulation
ASIC
On 2 July 2021, Mr Gabriel Govinda of Melbourne, Victoria, appeared at a filing hearing in the Melbourne Magistrates' Court faced with 23 charges of market manipulation and 19 charges of illegal dissemination of information relating to the manipulation.
/jlne.ws/3dBKSpn
Westpac to remediate customers for failure to pass on important corporate action information
ASIC
Westpac has committed to remediating customers whose financial advisers may have failed to notify them of corporate actions between 2005 and 2019. Westpac estimates approximately $87m will be paid in compensation to affected customers who are former clients of Westpac's advice businesses and held ASX-listed securities through platforms.
/jlne.ws/3jCb0nS
Statement on the IFRS Foundation's Proposed Constitutional Amendments Relating to Sustainability Standards
Commissioner Hester Peirce - SEC
The International Financial Reporting Standards ("IFRS") Foundation oversees the International Accounting Standards Board, one of the world's preeminent accounting standard-setters. In recent months, the IFRS Foundation's gaze has drifted to sustainability reporting. In September 2020, the IFRS Foundation began formally exploring the creation of an International Sustainability Standards Board under the Foundation's governance structure.
/jlne.ws/3xclYV2
ESMA publishes first overview of national rules governing fund marketing
ESMA
The European Securities and Markets Authority (ESMA), the EU securities markets regulator, has submitted to the European Parliament, the Council and the European Commission its first report on national rules governing the marketing of investment funds under the Regulation on cross-border distribution of funds.
/jlne.ws/3wdqLUX
CFTC Charges Three Individuals and Three Florida Companies with Fraud in Multimillion-Dollar Precious Metals Scheme
CFTC
The Commodity Futures Trading Commission today announced that it has filed a civil enforcement action in the U.S. District Court for the Southern District of New York against Robert Jeffrey Johnson, Kathleen Hook, Ross Baldwin, Precious Commodities, Inc. (PCI), National Coin Broker, Inc. (NCB), and NCB Wholesale Co. (NCBWC), all of Florida, charging them with fraud in connection with a multimillion-dollar precious metals leasing scheme.
/jlne.ws/366vL31
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| Investing & Trading | | Today's top stories from equities, indices and FICC (fixed income, currencies and commodities) | Your Money Market Fund Is Just Like a Checking Account—Usually; Liquidity abruptly dried up in the March 2020 "dash for cash." There are two conflicting options for what to do.
Peter Coy - Bloomberg
"I saw Tantalus in agonising torment, in a pool of water reaching to his chin. He was tortured by thirst, but could not drink, since every time he stooped eagerly the water was swallowed up and vanished, and at his feet only black earth remained, parched by some god."
—The Odyssey, Book XI
/jlne.ws/3ym0G7D
Europe's Money Markets Prepare for World Without Unlimited Cash
James Hirai - Bloomberg
Key gauge of funding conditions rises to highest since October; ING says increase shows market is pricing drop in liquidity
A key gauge of funding conditions in Europe suggests money markets are pricing in an eventual end to the region's unprecedented liquidity glut. The premium banks pay to pocket the spread between three-month and overnight cash in two years' time, rather than September, has climbed to six basis points. That's triple the equivalent level back in February and up from a low of around minus 15 basis points during the depths of the coronavirus crisis last year.
/jlne.ws/3dzCzds
How to beat the private equity buyers; Investors can spot possible target companies
Merryn Somerset Webb - FT
Why weren't all UK fund managers invested in Wm Morrison when the recent bid for the supermarket chain came in? If it was cheap enough for private equity firm CDR to want it, why was it not cheap enough for traditional fund managers to be holding?
/jlne.ws/365PM9Z
Economists can't predict the future — policy should reflect that
Fiscal processes must be overhauled to help us face an uncertain world
Gillian Tett - FT
Economists do not often preach about the virtue of self-doubt; least of all when they are Nobel Prize winners and Washington policymakers. This week, however, Robert Rubin (former US Treasury Secretary), Peter Orszag (former head of the Office of Management and Budget) and Joseph Stiglitz (the Nobel Prize-winning economist) have done precisely that.
/jlne.ws/3h9aqw7
New Head of Global Accounting Rule-Maker Expected to Zero In on Technical Details; Andreas Barckow on Thursday succeeded Hans Hoogervorst as chairman of the International Accounting Standards Board
Mark Maurer - WSJ
The International Accounting Standards Board on Thursday got a new leader after a decade in which the standard-setter expanded its reach to more countries and implemented several key rule changes.
/jlne.ws/3qGHgre
Robinhood Is Going Public. Is This the End of the Meme Trade?
Barron's
Meme traders will soon be able to trade stock of the company that made it all possible: Robinhood. The app-based, commission-free stockbroker filed paperwork with the Securities and Exchange Commission Thursday, a key step in preparing to raise money in an initial public offering. Robinhood sees its mission as democratizing finance, a noble goal, worthy of its namesake. But in the public's eye, its the narrative is all about meme-stock madness. Robinhood is inextricably linked to companies such as GameStop and AMC Entertainment thanks to the wild trading in those names and its participation in Congressional hearings designed to help lawmakers figure out what's going on.
/jlne.ws/3hdoF3a
Hertz Faces Volatile Trading, Bondholder Lawsuit After Leaving Bankruptcy; The rental-car company's seesaw as bondholders allege they were shortchanged by $272 million
Alexander Gladstone, Akane Otani and Caitlin McCabe - WSJ
Hertz Global Holdings Inc. shares swung wildly in the over-the-counter market after the rental-car company formally emerged from bankruptcy and was swiftly sued by bondholders demanding $272 million in premium payments.
/jlne.ws/3xdwA5Y
Halfway Through 2021, the Hot Stocks Are Old-Fashioned; Pandemic-friendly tech companies touched off the market's big rally last year. Now it's being sustained by throwbacks like oil drillers and financial firms.
Matt Phillips - NY Times
Zoom and Peloton are out. Oil drillers and metal miners are in. Tech companies that made remote living possible — or even bearable — were the center of the action last year as investors sought companies that were either immune to the economic chaos of the pandemic or potential winners from the disruption caused by lockdowns.
/jlne.ws/2UlgSY0
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| Environmental, Social and Corporate Governance | | Stories about environmental, social and governance investing | Same Job, But the Woman Makes $200,000 Less; Disparities in executive pay need to be more embarrassing.
Michelle Leder - Bloomberg
In April, the sudden death of Lee Delaney, the CEO of BJ's Warehouse Club, set into motion a chain of executive moves in which former Controller Laura Felice replaced CFO Bob Eddy, who took over as CEO. With all due respect to the difficulties and grief involved, I couldn't help noticing the salaries being offered to the newly named executives. The new CEO received the same $1.2 million that Delaney had earned, but Felice's salary was set at $600,000, nearly $200,000 less than what Eddy had been making.
/jlne.ws/3AnLBnO
Home to Freud, Austria Debates Carbon-Tax Therapy to Ease Climate Anxiety; As record heatwaves stress the urgency of the climate crisis, Austria lawmakers want a plan to make everyone pay for pollution.
Jonathan Tirone - Bloomberg
When temperatures soar and Austrians start to get a little stir crazy, they dream of Alpine hills where scientists and philosophers like Sigmund Freud retreated to refresh mind and body. These days, ever-hotter summers are turning that discomfort into full-blown anxiety over climate change.
/jlne.ws/3jDfQRM
Australia's Case for Fossil Fuels Weakens as Solar and Wind Set Records
Rob Verdonck - Bloomberg
Record level of wind, solar generation lowered power prices; Government argues that fossil fuels needed for secure supply
Solar and wind power are continuing to set records in Australia, pushing down electricity prices and reducing the profitability of fossil fuel generation.
/jlne.ws/3dAvQjF
Norway's $1.4 Trillion Fund Warns Climate Goals May Hit Returns
Stephen Treloar - Bloomberg
Wealth fund cautions against big change to investment strategy; Norwegian lawmakers pushing fund to consider emissions targets
Norway's sovereign wealth fund cautioned against changing its investment mandate, arguing that the inclusion of climate targets could put returns at risk. "We should be careful about making major changes to the principles underlying the fund's investment strategy," Norges Bank Governor Oystein Olsen and wealth fund's Deputy CEO Trond Grande said in a letter to the Finance Ministry.
/jlne.ws/3huVyXM
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| Banks, Brokers & Managed Funds | | The latest from banks, brokers, hedge funds and managed futures | BNP Paribas CIB Signs 10 Year Agreement for FIS' Cleared Derivatives Technology Platform
BNP Paribas
BNP Paribas, one of the world's largest banks, is confirming its partnership in post-trade derivatives clearing technology with financial solutions leader FIS® (NYSE: FIS). The bank is working with FIS to transition to the new leading-edge technology of FIS' Cleared Derivatives Suite. The FIS platform centralizes all main post-trade workflows onto a single, unified global system.
/jlne.ws/3jOZdCP
Retail traders account for 10% of U.S. stock trading volume - Morgan Stanley
Thyagaraju Adinarayan - Reuters
Retail investors currently account for roughly 10% of daily trading volume on the Russell 3000, the broadest U.S. stocks index, after peaking at 15% in September as lockdown boredom and extra savings triggered interest in stock markets, Morgan Stanley said on Wednesday.
/jlne.ws/3hsSmMe
Credit Suisse Makes $750 Million Payment to Greensill Investors
Marion Halftermeyer - Bloomberg
Credit Suisse Group AG said that it made a further $750 million payment to investors in its $10 billion Greensill supply-chain finance funds, as it seeks to move past the damaging scandal. The payment will take the total paid to investors in the funds to $5.6 billion, according to a statement from the bank on Friday. The funds' total cash position -- including the $4.8 billion already returned -- is about $6.1 billion, the bank said.
/jlne.ws/3jBGc6s
BNP Paribas to Let Some Bankers Work From Home Half of The Time
Alexandre Rajbhandari - Bloomberg
Lender drawing up framework to offer workers more flexibility; Plan to come into effect September, unions still to sign
BNP Paribas SA is set to allow some bankers to work from home half of the time, joining European peers such as Deutsche Bank AG and UBS Group AG in allowing more flexible work on a permanent basis.
/jlne.ws/3dzzB8O
HSBC Banker's Portrait of Racism Inside Firm Prompts Probe
Harry Wilson and Sridhar Natarajan - Bloomberg
An employee quietly interviewed peers about their experiences; Then he sent a scathing report to the bank's senior management
The uncomfortable conversations began the moment the 48-page report landed in senior managers' inboxes at HSBC Holdings Plc last month. Soon, attention turned to the unlikely author who was emailing it.
/jlne.ws/2TxcIvQ
Sanjeev Gupta in talks with Glencore over loan; Commodity trading house seeks to refinance debt at metals magnate's aluminium business as market booms
Robert Smith and Neil Hume - FT
Sanjeev Gupta is in talks with Glencore to refinance debt at his European aluminium business, a deal that would allow the metals magnate to retain control of one of his best assets.
/jlne.ws/3wasHx9
Citi, Wells Fargo face higher stress capital buffer add-ons; Both G-Sibs are outliers, as Fed slaps on higher capital requirements following latest round of stress tests
Lorenzo Migliorato - Risk.net
Citi and Wells Fargo have been saddled with higher Common Equity Tier 1 (CET1) capital requirements following the latest round of Federal Reserve stress tests. From October 1, Citi's CET1 ratio requirement will rise 50 basis points to 10.5%, and Wells Fargo's 60bp to 9.6%, in both cases due to a higher stress capital buffer (SCB).
/jlne.ws/3qEYlC2
Robinhood has 18 million accounts with $80 billion in assets after rapid growth, IPO filing shows
Maggie Fitzgerald - CNBC
Robinhood Markets filed for one of the most anticipated initial public offerings of the year on Thursday, revealing rapid growth resulting in 18 million retail clients and more than $80 billion in customer assets.
/jlne.ws/3qFCcDD
BlackRock Settles Discrimination Lawsuit With Former Employee
Annie Massa - Bloomberg
BlackRock Inc. said it settled a discrimination lawsuit with a former employee, at a time when the world's largest asset manager has been publicly challenged about its commitment to equity and inclusion.
/jlne.ws/3haIW9e
Goldman Plans New Dallas Campus, Extending Bet on Hub in Texas
Natalie Wong and Sridhar Natarajan - Bloomberg
Goldman Sachs Group Inc. is on the hunt for a new office campus in Dallas that could become the Wall Street bank's largest presence in the U.S. outside of its Manhattan headquarters.
/jlne.ws/3x9eS3s
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| Regions | | Stories of local interest from the Americas, EMEA and Asia-Pacific regions | Ex-Keidanren, Hitachi chief Nakanishi dies at 75
Kyodo News
Hiroaki Nakanishi, a former executive chairman of conglomerate Hitachi Ltd. and a former chairman of Japan's most powerful business lobby who was known for his efforts to revamp long-standing customs in corporate Japan, has died, Hitachi said Thursday. He was 75.
/jlne.ws/3h7C7oW
RBI Proposes Framework for Acceptable Bids at Auctions to Underwriters
Subhadip Sircar, Suvashree Ghosh, and Ronojoy Mazumdar - Bloomberg
Primary dealers asked to respond by July 10 to RBI proposal; Letter calls on dealers to play their part in price discovery
India's central bank wrote to primary dealers proposing a framework for defining acceptable bids at auctions, as underwriters are having to step in to rescue more bond sales.
/jlne.ws/3dC49a2
World's Top Pension Fund Books 'Historic' $339 Billion Gain
Shoko Oda and Emi Urabe - Bloomberg
Overseas stocks provided most of the gains for Japan's GPIF; Fund's total assets rise to record $1.67 trillion as of March
The world's biggest pension fund posted a record return for the fiscal year ended March, boosting its assets to a new high and beating its benchmark for the first time in seven years. Japan's Government Pension Investment Fund booked a gain on its investments of 25%, or 37.8 trillion yen ($339 billion), in the 12 months ended March, the most since the fund started managing the nation's pension reserves in 2001.
/jlne.ws/3yjwvxw
Venezuela to Cut Six Zeroes Off Bolivar to Simplify Transactions
Patricia Laya and Alex Vasquez - Bloomberg
Central bank may print new bills in August: people familiar; Inflation remains high, though dollarization has slowed gains
Venezuela is preparing to once again lop off zeroes from the national currency in an attempt to simplify daily transactions which sometimes barely fit on a calculator or require swiping cards multiple times to complete a purchase.
/jlne.ws/3yg09Ut
Colombia loses decade-old investment grade status; Fitch downgrade hits Iván Duque's government rocked by violent protests to tax reform plan
Gideon Long - FT
Colombia lost its decade-old investment grade status for issuing long-term sovereign debt on Thursday, when Fitch became the second big rating agency to downgrade the country to junk.
/jlne.ws/3dAyXrR
UK pension schemes waste billions on underperforming asset managers, study finds; Weak value for money provided by investment companies, claims specialist data provider
Chris Flood - FT
UK pension schemes are wasting billions of pounds each year paying fees to underperforming asset managers, according to a study that highlights the weak value for money delivered to retirement savers.
/jlne.ws/2UhU7En
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| Miscellaneous | | Stories that don't quite fit under the other sections | It feels lonelier at the top with everyone working from home; The imaginary all-staff memo of a highly paid CEO driven to distraction by his empty office
John Gapper - FT
Memo from the CEO
To all employees of Global Cryptobank
As I sit here on the 84th floor of our magnificent New York headquarters, inaugurated only three years ago but now practically empty, I want to share my feelings with you all. I have reflected carefully since the outrage that followed my previous memo, calling on you to return to work or face the consequences.
/jlne.ws/3w9RHER
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