Fese: OTC uncertainty 'unacceptable'
Friday 19 August 2011 - by Andrew Hickley
Uncertainty about the number of trades that take place in over the counter markets has been branded "unacceptable" by the Federation of European Securities Exchanges.
The trade body goes on to caution against the mandatory use of mechanisms such as circuit breakers when markets become volatile.
The group argues that exchanges already have strong risk controls in place. Mandatory use of these safeguards may not be appropriate for all products and services, it says, and exchanges should instead be encouraged to implement trading controls that best suit their markets and operating systems.
It also says it has no complaints towards high frequency trading as a technology, arguing there is "nothing intrinsic to HFT" that leads to market abuse.
Send us your thoughts (in strict confidence) or submit an article in response:
|Login||Register||Most read||Most commented|
Will markets in 2012 have a tougher time than 2011?