Forefront Fintech Digest Week in Review: January 6 - 10
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Broker News
HSBC Appoints Lisa McGeough as President & CEO for US
Markets Media | Staff
The appointment marks the first female CEO in the region in over a decade and only the second in its 150-year history. HSBC announced that Lisa McGeough has officially been appointed President and Chief Executive Officer for the United States, effective January 1, 2025. In this role, Lisa will lead the next phase of growth for the United States, overseeing all businesses in the region. She will also drive the expansion of the newly integrated wholesale business, Corporate and Institutional Banking, in North America. Lisa will be based in New York City.
TD Securities Taps Deutsche Numis for New Director of Sales Trading
The TRADE News | Wesley Bray
TD Securities has appointed Rob Fallon as director of sales trading, based in Dublin. Fallon joins the firm from Deutsche Numis, where he spent the last two years, most recently serving as director of sales trading. Institutional broker Numis was acquired by Deutsche Bank in 2023, as part of its Global Hausbank strategy aimed at “unlocking deeper engagement with corporates in the UK”.
UBS Close to Large Settlement Over Credit Suisse Tax Case
Wall Street Journal | Margot Patrick, Emily Glazer & Dave Michaels
UBS is set to pay at least hundreds of millions of dollars to settle violations by Credit Suisse of an earlier agreement with the U.S. Justice Department over American clients who evaded tax, people familiar with the matter said. A settlement could come as soon as this week, one of the people said. Prosecutors have weighed how best to punish Credit Suisse since it came under new ownership via a rescue by UBS in 2023. It could be one of the last big actions for the Justice Department under the departing Biden administration, which promised to crack down on repeat corporate offenders.?
Centerview Partners Considers a Deal of Its Own After Record Year
Wall Street Journal | Lauren Thomas
Centerview Partners has long been seen as a holdout on Wall Street as one of the only boutique banks that hasn’t gone public or taken outside money. That could finally change. The firm is becoming more open to exploring its options, Centerview co-founder Blair Effron suggested in a recent interview. Those could include selling a stake in the firm to an outside investor or going public.?Centerview has recently received interest from big investors, people familiar with the matter said.
Wall Street Job Losses May Top 200,000 as AI Replaces Roles
Bloomberg News | William Shaw
Global banks will cut as many as 200,000 jobs in the next three to five years as artificial intelligence encroaches on tasks currently carried out by human workers, according to Bloomberg Intelligence. Chief information and technology officers surveyed for BI indicated that on average they expect a net 3% of their workforce to be cut, according to a report published Thursday. Back office, middle office and operations are likely to be most at risk, according to Tomasz Noetzel, the BI senior analyst who wrote the report. Customer services could see changes as bots manage client functions, while know-your-customer duties would also be vulnerable.
Exchange, ATS & Clearing News
SIX Expands Global Reach of Repo Data
Markets Media | Staff
By integrating CO:RE trading platform into the MDDX feed of SIX Swiss Exchange, trading data becomes accessible to a broad audience of money market participants through data vendors, enhancing transparency and connectivity in the repo market. The repo market, a cornerstone of global financial systems, facilitates secured borrowing and lending, contributing to liquidity management, regulatory compliance, and efficient market functioning. By integrating CO:RE data into MDDX data feed, SIX takes a major step in enabling money market stakeholders worldwide to access critical repo market insights.
ICE’s AFX Swoop Shines Spotlight on Ameribor Prospects
Risk.net | Bernard Goyder
The Intercontinental Exchange’s acquisition of the American Financial Exchange, announced on January 8, was completed with remarkable speed over the holiday season. The unsecured funding platform for regional and community banks had been seeking new investment when the US exchange giant made a surprise swoop late last year. Former AFX chief executive John Shay, who stepped down following the acquisition announcement, told Risk.net in December that the firm was “in capital raise mode”.
Cboe Global Markets, Metaurus Advisors Collaborate on New U.S. Equity Index
Traders Magazine | Staff
Cboe Global Markets, Inc. (Cboe: CBOE), the world’s leading derivatives and securities exchange network, and Metaurus Advisors, LLC (Metaurus), an asset management company focusing on financial innovation, today announced their collaboration on the Cboe U.S. Large-Mid Cap 100 Index (CEQX). ?The CEQX Index, which launched on December 20, 2024, is the first of four indices jointly developed by Cboe and Metaurus.
Imperative Execution Hires Keith Fortier as Managing Director of Operations
Traders Magazine | Staff
Imperative Execution, a financial technology company and the operator of the IntelligentCross alternative trading system, hired Keith Fortier to the newly created position of Managing Director of Operations.?Fortier joins Imperative Execution from BMO Commercial Bank, where he was Head of Broker Dealer Client Services and TechOps Global Trading Solutions. Previously he held technology and client service roles at Clearpool Group, Dimension Capital Partners, and SunGard Financial Systems (now FIS).
Bread Battle: It’s Chicago vs. Minneapolis in the Wheat Futures Market
Wall Street Journal | Alexander Osipovich
The biggest U.S. futures exchange is making a play for one of the last slices of the grain markets that it doesn’t already control. Chicago-based CME Group said Wednesday that it planned to launch futures and options on hard red spring wheat, subject to regulatory approval. The move is a bid to grab market share from its much smaller rival, MIAX Futures, formerly called the Minneapolis Grain Exchange, which offers similar contracts. Hard red spring wheat is a high-protein type of wheat used in artisanal breads, bagels and pizza dough.
Vendor News
Symphony Looks to Cloud, AI for Enhanced Trader Voice
WatersTechnology | Nyela Graham
Look at any photo of a Wall Street trading floor prior to the last 15-or-so years, and you’ll see a common theme—traders hunched over monitors (probably more than one) with a phone in hand, and not the touchscreen smartphones of today. Many of those phones were connected to devices called turrets, specialized systems for financial professionals to reach clients and other brokers and they’ve been a fixture at trading firms for years.
BNY Electronic Equity Trading Head Joins SS&C Technologies
The TRADE News | Claudia Preece
Michael Horan has been appointed head of trading at SS&C Technologies Global Investor and Distribution Solutions (GIDS) in EMEA following two decades working with BNY and Pershing. He most recently served as head of electronic equity trading at BNY’s London branch for 11 years. Before that, London-based Horan served as head of outsourced trading at Pershing EMEA.?
Virtu Financial Integrates Glimpse Markets’ Trade Data
The TRADE News | Wesley Bray
Glimpse Markets has integrated its trade data and dealer rankings within Virtu Financial’s Triton EMS.?As part of the development, the data has been embedded and made interoperable directly within Virtu’s EMS. “This exciting development means Virtu clients can make the most of the Glimpse data by accessing it at the point of trade, inside their EMS to gain greater market insights and improve the quality of their execution,” said Paul O’Brien, founder and chief executive at Glimpse Markets, speaking in an announcement on social media.
Winterflood Securities Joins OptimX Liquidity Provider Pool
The TRADE News | Annabel Smith
Winterflood Securities has become the latest liquidity provider to join OptimX Markets’ growing sell-side network. The liquidity provider will now be able to access institutional buy-side trading desks in the European markets directly via OptimX’s platform.?“Winterflood is delighted to be working with OptimX,” Scott Lesser, head of trading solutions, Winterflood Securities, told The TRADE. “Through the seamless technology streams of OptimX and transparent liquidity of Winterflood, this collaboration between the two firms will enable enhanced productivity and trading opportunities for our institutional clients.”
Exegy Hires Industry Vet, Fiesel, To Build On Sales Momentum
Mondovisione | Staff?
Exegy, the leading provider of market data and trading technology for capital markets across the latency spectrum, is pleased to announce the hiring of Jim Fiesel as its new Chief Revenue Officer (CRO). Fiesel joins Exegy from his role as Managing Director of the Americas at Broadridge, where he led Broadridge Trading and Connectivity Solutions (BTCS). Exegy grew its annual new sales by over 60% in 2024 and sought out Fiesel’s extensive experience and expertise to build on its sales momentum. Fiesel brings years of valuable experience in financial technology, having held senior roles at Bloomberg, Calypso Technology, and was a Managing Director at Tradeweb and Finastra.?
Buy-Side News
Point72 Data Head Joins the New Hot Space for AI Jobs: Private Equity
eFinancialCareers | Alex McMurray
While hedge funds and quant trading firms are traditionally thought of as the place to be for AI talent in finance, private equity has been investing heavily in the technology. Now, top hedge fund AI people are being tempted to cross over. Sameer Gupta has left hedge fund Point72, where he was most recently head of data solutions, to become the chief data and analytics officer of Apollo Global Management. Gupta was involved in end-to-end AI solutions for the hedge fund, as well as building out its GenAI data platform. He held the same role at the New York Mets (owned by Point72 founder Steve Cohen), implementing AI and building private LLMs for the sports franchise.
Trader Who Made Billions in 2008 Returns to Bet on Market Swings
Bloomberg News | Bei Hu
A former hedge fund manager whose firm made billions during the global financial crisis is ready to pounce on volatility again, as he sees threats to market stability at a level not seen since 2008. Steve Diggle's family office Vulpes Investment Management is seeking up to $250 million from investors as early as in the first quarter, the Oxford, UK-based investor said in a telephone interview. Diggle, whose firm made $3 billion in 2007 and 2008, is raising the money for a hedge fund and managed accounts designed to create hefty returns in market crashes and profit from wagers on rising and falling stocks in calmer periods.
Bridgewater Cuts 7% of Staff in Effort to Remain ‘Nimble’
Bloomberg News | Gillian Tan & Nishant Kumar
Bridgewater Associates dismissed 7% of its workforce Monday as the world’s biggest hedge fund seeks to remain lean and maintain the flexibility to hire top talent, according to a person familiar with the matter. The cuts affect about 90 employees, said the person, who asked not to be identified because the information hasn’t been announced publicly. The firm, whose headcount is now back to where it was in 2023, will continue hiring selectively, the person said.
领英推荐
Aaron Weiner Starting Hedge Fund With $3 Billion From Millennium
Bloomberg News | Katherine Burton
Coatue Management alumnus Aaron Weiner is set to launch his own hedge fund with $3 billion from Millennium Management, according to people familiar with the matter. Weiner, 32, who left Coatue last year, will be the sole portfolio manager of Atlantic Wolf Capital, a long-short equity shop that will focus on health care. A Millennium spokesperson declined to comment, and Weiner didn’t reply to a message seeking comment.
M&A / Investment News
FalconX Acquires Arbelos Markets
Finextra | Staff
FalconX, a leading digital asset prime broker, has announced its acquisition of Arbelos Markets, a trading firm specializing in crypto derivatives led by industry veterans Joshua Lim, Shiliang Tang, and Sergio Almada Monter. FalconX operates FalconX Bravo Inc., the first CFTC approved swap dealer focused on cryptocurrency derivatives, and this acquisition further reinforces the firm’s commitment to expanding its derivatives business and strengthens its position as one of the largest crypto derivatives dealers in the market.
FTX EU Acquired by Backpack Exchange, an Exchange Founded by Previous FTX and Alameda Employees
The Block | Adam James
FTX EU — the European arm of the crypto exchange that infamously collapsed in late 2022 — has been acquired by Backpack Exchange following approval by the FTX bankruptcy court and the Cyprus Securities and Exchange Commission. Backpack Exchange will take responsibility for distributing the previously court-approved FTX bankruptcy claims to FTX EU users.
ICE Acquires the American Financial Exchange (AFX)
Press Release | N/A
Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of technology and data, today announced that it has acquired the American Financial Exchange (AFX), an electronic exchange for direct lending and borrowing for American banks and financial institutions. ICE has acquired 100% of AFX from 7RIDGE. The acquisition is not expected to have a material impact on ICE’s 2025 financial results or on ICE’s deleveraging or capital return plans.
MetLife Investment Management Acquires Mesirow Teams
The DESK | Lucy Carter
MetLife Investment Management (MIM) has agreed to acquire the high yield, bank loan and strategic fixed income teams. The transaction also includes Mesirow’s small-cap equity team, with a total of US$6 billion in assets under management being transferred to MIM. As of September 2024, MIM held US$609.3 billion in assets under management.
Optiver, XTX Markets Among Consortium to Back Launch of Brazilian Derivatives Exchange A5X
The TRADE News | Claudia Preece
Optiver, IMC Trading, Jump Trading Group, XTX Markets and ABN AMRO Clearing Bank have invested in A5X, a new Brazilian derivatives exchange which is set to begin operations by 2026.?The Series B strategic investment follows a previous funding round and will specifically fund the investment in talent and technology necessary for A5X’s launch. The five latest investors, as well as contributing capital, are set to share their joint knowledge in the creation and evolution of other stock exchanges globally also, said IMC in a social media announcement.?
Regulatory & Legal News
CFTC Approves Eurex Dividend Options for US Trading
The TRADE News | Claudia Preece
The Commodity Futures Trading Commission (CFTC) has approved Eurex?dividend?options for trading in the US as of today, 6 January. Robbert Booij US market participants can now more efficiently manage their exposure in European equity markets through these additional instruments, said Eurex. Specifically, EURO STOXX 50 Index?Dividend?Options and EURO STOXX Banks Index?Dividend?Options can now be directly traded from the US.
Former Crypto Chief Do Kwon Brought to New York to Face Fraud Charges
Financial Times | Will Schmitt
South Korean cryptocurrency mogul Do Kwon made his first appearance in a Manhattan courtroom after the co-founder of the bankrupt Terraform Labs was extradited from Montenegro on Tuesday to face criminal charges in the US. A new indictment unsealed on Thursday adds a new count of money laundering to the eight original charges announced last year against Kwon — including securities, commodities and wire fraud — over Terraform Labs’ 2022 collapse, which led to a $40bn implosion of its TerraUSD and luna tokens.
Michael Barr to Step Down as Top Wall Street Regulator
Financial Times | Colby Smith
Michael Barr is stepping down as Wall Street’s top regulator but will stay on as a governor at the Federal Reserve, the US central bank announced on Monday. Barr will vacate his role as vice-chair for supervision at the end of February, cutting short a four-year term that began in July 2022. He will remain as a governor until that term is up in January 2032, meaning there will be no new vacancy on the seven-member board of governors.
Winklevoss Twins’ Gemini to Pay $5 Million Fine to End CFTC Case
Bloomberg News | Bob Van Voris
The Winklevoss twins’ Gemini Trust Co. agreed to pay $5 million to end a Commodity Futures Trading Commission claim that it misled the derivatives regulator in a bid to launch the first US-regulated Bitcoin futures contract. The proposed deal was disclosed Monday in a joint court filing by both parties, avoiding a trial set to begin Jan. 21, the day after Donald Trump will be inaugurated for his second term as US president. Gemini settled without admitting or denying liability in the case.
US Regulator Warned Banks on Crypto but Did Not Order Halt to Business
Reuters | Pete Schroeder & Douglas Gillison
A U.S. bank regulator told banks to pause dabbling directly in crypto in 2022 and 2023, but did not order them to stop providing banking services to crypto companies contrary to industry complaints of widespread "debanking," according to documents released on Friday. A judge ordered the Federal Deposit Insurance Corporation to provide versions of supervisory "pause letters", opens new tab it sent to unidentified banks after History Associates Incorporated, a research firm hired by crypto exchange Coinbase (COIN.O), opens new tab, sued the agency to release them.
Gensler Says SEC Has More Work to Do on Crypto Regulation
Bloomberg News | Lydia Beyoud & David Gura
Gary Gensler, the outgoing chair of the Securities and Exchange Commission, believes there’s more still to be done in regulating altcoins and intermediaries in the digital assets market. Everyday investors still don’t receive adequate disclosures or information from digital asset firms, Gensler said Wednesday during an interview on Bloomberg Television. The former Goldman Sachs executive’s tenure as a top Wall Street cop has been marked by vigorous enforcement efforts against many cryptocurrency players, from outright fraudsters to companies like Coinbase Global Inc. and proprietary trading firm DRW Holdings.
Crypto?& Digital Asset News
The Next Wave of Corporate Bitcoin Adoption Seems to Be on Its Way
CoinDesk | James Van Straten
As interest in digital assets continues to rise, a new phase of corporate adoption for bitcoin (BTC) appears to be taking shape, with publicly listed firms following MicroStrategy's lead by adding BTC to their balance sheets. It all started with MicroStrategy (MSTR) adopting BTC as Treasury asset in 2020. Since then, its share price has jumped almost 2,500%. Over the years, the company has boosted its coin stash through cash, at-the-market (ATM) equity offerings, convertible debt or, more recently they said they would also use preferred stock offerings.
Coinbase Granted Significant Advance in Court Clash With Gensler's SEC
CoinDesk | Jesse Hamilton
Coinbase Inc. has been given an unusual chance to skip ahead in a U.S. federal court dispute with the Securities and Exchange Commission (SEC) when a judge granted the company's request to chase a narrow appeal of the regulator's accusations about trading crypto securities. If the U.S. digital assets exchange can get the U.S. Court of Appeals for the Second Circuit to take its appeal and agree that the SEC was wrong about its accusations that Coinbase improperly handled the trading of unregistered securities, such a decision would echo throughout the wider crypto industry.
Hong Kong Launches Initiative To Help Banks With DLT Adoption
Cointelegraph | Martin Young
The Hong Kong Monetary Authority (HKMA) has launched an initiative to assist banks in adopting distributed ledger technology. On Jan. 8, the Hong Kong central bank announced the launch of its “Supervisory Incubator for Distributed Ledger Technology,” which aims to help banks safely implement distributed ledger technology into their operations and maximize the benefits. “As the banking industry continues to evolve, it is essential that we provide a supportive environment for innovation to thrive,” said Arthur Yuen, deputy chief executive of the HKMA.?
Crypto CEOs Clamor for Access to Trump as Inauguration Day Nears
Bloomberg News | Olga Kharif & Stephanie Lai
Circle Chief Executive Officer Jeremy Allaire said Thursday on X that the stablecoin company contributed tokens worth $1 million to President-elect Donald Trump’s inaugural committee — joining a parade of other CEOs vying for favor as the incoming administration works to form a key crypto industry group. With the inauguration less than two weeks away, industry executives are jockeying for access to Trump himself and for a seat on the planned crypto advisory council, expected to be formed soon after Trump takes office.
A Bitcoin Bull as Canada’s Next Prime Minister? Polls Say Yes
DL News | Kyle Baird
Canada’s next prime minister could be a fiscal hawk with a penchant for Bitcoin. Pierre Poilievre, the leader of the Conservative Party, is a frontrunner to succeed Justin Trudeau, who announced on Monday that he would be stepping down as Canada’s prime minister and as the head of the Liberal Party. Poilievre, 45, has vowed to slash government spending, tackle inflation, and put an end to what he calls the “immoral tax” of printing money, which tends to drive up consumer prices.