Anyone reading the business section of a newspaper lately knows that the financial exchanges--stock, bonds, FX, commodities, and so forth--are undergoing tremendous transformations. Fund managers, market makers, traders, exchange professionals, marekt data providers and analyzers, investors--anyone involved with the financial exchanges needs to understand the major forces pushing this transformation in order to position themselves and their institutions to the best advantage. In this book, veteran exchange expert Michael Gorham joins his twenty-five years of experience with CME and CBOT to the technical expertise of Nidhi Singh of Goldman Sachs to write a book that tells the story of this dramatic transformation. They chronicle the shift: --from floors to screens --from private clubs to public companies, and --from local and national to global competition. They analyze each of these shifts, identify the drivers behind them and look forward to the implications arising out of them for exchange business in the future. They also explore several key trends: --an increase in product innovation --the integration of markets from all over the world onto a single screen, --the rise of the modular exchange --the outsourcing of various exchange functions, and --the difficulty of transcending geography for regulatory purposes. So join Gorham and Singh in learning the story of this fundamental transformation. As old ways of working are being destroyed, entirely new types of jobs are being created, and new ways of working with exchanges. This book will help you chart the way forward to financial success.
Gorham is an exchange expert and Singh is an electronic trading expert, they combine their expertise to reveal the inner workings of the exchanges and where they will go in the future Only book to point to new skills needed and new ways of making money for users of exchange services
Finance professionals in investment banking (34,000 analysts), and in the securities and commodities industry (93,000 analysts and managers), exchange managers, staff, and members worldwide, providers of exchange services such as brokerage firms and market data vendors, users of exchange services such as banking, energy and agribusiness companies, pension, mutual, and hedge fund managers, corporate treasury departments.
Intro: Basic Themes Chapter 1: Big Picture Chapter 2: Floor to Screen Chapter 3 From Private Club to Public Company Chapter 4: Nation to Global Chapter 5: Smaller to Larger Chapter 6: Electronic Trading Chapter 7: Modular Exchange Chapter 8: Implications for Regulators and Regulation of the Conquest of Electronic Trading Systems Chapter 9: New Wave of Product Innovation Chapter 10: The Upside Chapter 11: Not a Perfect World Chapter 12: Future of Electronic Markets
- No. of pages:
- © Elsevier Science 2008
- 29th May 2009
- Elsevier Science
- eBook ISBN:
- Hardcover ISBN:
Michael Gorham is Industry Professor and Director of the IIT Stuart Center for Financial Markets at the Stuart School of Business in the Illinois Institute of Technology. He serves on the board of directors for two exchanges — the CBOE Futures Exchange and the National Commodity and Derivatives Exchange of India. He also serves on the Business Conduct Committees of the Chicago Mercantile Exchange and the National Futures Association and the editorial boards of the GARP Risk Review and of Futures Industry magazine.
Director, IIT Stuart Center for Financial Markets, Illinois Institute of Technology, Chicago, USA; 18-year veteran of the Chicago Mercantile Exchange
Nidhi Singh is currently a Vice President at Goldman Sachs. She manages the Client Technology Solutions and product development groups for the for the clearing services in the global Listed Derivatives group. Previously, she was the Vice President of Global Technical Sales at Trading Technologies. She helped to expand their customer base to sell-side firms globally. She provided technical recommendations for integrating TT’s products into customers’ existing trading infrastructure. She began her career at TT as a Senior Product Manager responsible for developing the back-end infrastructure, including exchange connectivity and a FIX API to integrate third party applications. She contributed to the Global Derivatives Business Practices subcommittee of the FIX Protocol standards body. While at TT, she was also an adjunct faculty at the Center for Law and Financial Markets at the Illinois Institute of Technology (IIT). She taught graduate level courses in electronic trading and market infrastructure. She was the Marketing Director for the Center for Law and Financial Markets at IIT, where she helped to develop curriculum for graduate students and continuing education for financial industry professionals. Prior to IIT, she was an Application Architect at the Options Clearing Corporation (OCC). She contributed to new projects in clearing services, risk management, and margin allocation. She worked closely with DTCC, NSCC, various equity options exchanges, and clearing members. She earned an M.S. in Financial Markets from the IIT Stuart School of Business at the Illinois Institute of Technology, where she was one of only two students to publish a paper in the Journal of Global Financial Markets (“Cycles of Fragmentation and Centralization of Equities Markets”). She also holds a BS in Economics from Purdue University.
Vice President, Goldman Sachs
"Gorham and Singh have expertly sewn together the history of exchanges characterized by four words -- transformation, competition, demutualization and globalization. For both history buffs and those looking toward what the future may hold, Electronic Exchanges is well worth the read."
--William J. Brodsky, Chairman & CEO, Chicago Board Options Exchange
"Michael Gorham and Nidhi Singh have done a wonderful job. Electronic Exchanges is very informative and pretty much dead spot on."
--Harris Brumfield, CEO, Trading Technologies
"A thoroughly entertaining insight as to how we got to where we are today from a point where many of us started in this industry. Not only the what and when, but an enlightened rendition of the why."
--John McPartland, A key figure in Chicago Finance
"This is a wonderfully readable account of the way exchanges have evolved over the years and are continuing to evolve. Strewn with anecdotes, data and analytics, this book brings alive in a vivid and meaningful way the remarkable changes in the world of exchanges. An important book for both the lay reader and the practitioner."
--Ravi Narain, CEO, National Stock Exchange of India
"The history behind and transformation of exchanges is one of the most colorful components of the financial space. Authors Gorham and Singh have done a great job of catching that color in a form that will be appreciated by the novice as well as exchange veterans. Excellent work and a must read for anyone involved in financial markets."
--James E. Newsome, PhD, Board of Directors-CME Group