Industry news

September 28, 2012: Fears Over Counterparty Rules Dent LSE; FSA Seeks To Mend Libor, Not End It; Asian Energy Markets Liquid Enough To Sidestep Dodd-Frank Compliant Firms

The London Stock Exchange’s value takes a hit as it announces that new European regulations will significantly impact LCH.Clearnet, the clearing company it is about to control. Also in the UK, the Financial Services Authority takes over the Libor interest rate project and seeks to clean house without completely abandoning the index. In Asia, CME Group notes that energy trading companies are liquid enough that they can avoid trading swaps with U.S. Dodd-Frank-regulated firms.

First Read

NYSE to Use Twitter, Facebook as Backstop to Spread Word of End-of-Day Trading Imbalance
Matt Jarzemsky and Chris Dieterich – Dow Jones
If all else fails, tweet it. The New York Stock Exchange said Thursday it is looking to social media as it tweaks procedures for finding buyers and sellers to close daily trading in certain stocks. The exchange, a unit of NYSE Euronext (NYX), said Thursday it will use Twitter and Facebook in its hunt for investors to set closing stock prices when the existing method of spreading the word, email, fails.
jlne.ws/QKe2iG

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Illinois Supreme Court Rejects Ise Appeal of CBOE’s Index Option Victory
On September 26, 2012, the Illinois Supreme Court refused to hear International Securities Exchange‘s appeal of the Appellate Court’s May 25, 2012 decision that affirmed a permanent injunction prohibiting ISE from listing or providing an exchange market for trading in options on either the S&P 500 Index or the Dow Jones Industrial Average. This injunction also forbids The Options Clearing Corporation from clearing options on these indexes for ISE.
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CME Group-MSRI Prize in Innovative Quantitative Applications Awarded to Robert Shiller
CME Group and the Mathematical Sciences Research Institute (MSRI) announced today economist Robert Shiller is the 2012 recipient of the CME Group-MSRI Prize in Innovative Quantitative Applications. He will be honored at an award ceremony at W Chicago-City Center on Friday, October 12, at 10:30 a.m.
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Orc News, September 2012
Read about our completed efforts to support the Chicago Board Options Exchange’s upgraded CMi protocol and Eurex’s new trading architecture. Also, in our Market connectivity update, you can read about how Orc is enabling our customers to take advantage of opportunities in Eastern Europe, providing new connectivity to the exchanges in Prague and Warsaw.
jlne.ws/QKe1LA

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Wall Street ‘fear gauge’ loses scare factor
Robin Wigglesworth, Alice Ross, Ajay Makan and Michael Mackenzie – FT.com
It’s quiet, oh so quiet. Isolated bursts of volatility aside, the sharp market swings that shook investors only a few months ago have become mere ripples.
jlne.ws/QKe2iH

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Wall Street’s Brutal Job Cuts Are About To Get Much Worse
Forbes
Job cuts in the financial sector have been brutal but they’re about to get a lot worse.
jlne.ws/QKe1LC

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The ‘Tin Man’ and the ‘Johor shuffle’
Posted by Izabella Kaminska – FT Alphaville
First there was Copper Fingers. Then there was Choc Finger. Later we had The Whale. What all of these traders respectively had in common (and no, they weren’t all Bond villain rejects) was that they all became the markets they were trading. On that note we’re very excited to inform readers that a fourth name could possibly be joining the merry rabble soon. For now, we’ll call him the ‘Tin man’
jlne.ws/QKe1LF

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How the drought turned crops to crisp
Associated Press
Duane Braesch’s cornfields are prime evidence of how unforgiving the elements have been for him and so many others across the Midwest this summer. To demonstrate the hardship, the 79-year-old Nebraska farmer let The Associated Press show the world what he’s weathered during the worst U.S. drought in decades.
jlne.ws/QKe1LH

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Meredith Whitney Blew a Call—And Then Some
DAVID WEIDNER – WSJ.com
In another life, Meredith Whitney would have made a terrific replacement referee. Not only can’t she get the call right, she won’t admit when she’s wrong.
jlne.ws/QKe2iM

JLN Forex

The addiction of the temporary fix
Jonathan Matte – JLN Forex

While aggregating news for various JLN newsletters this morning, I came across this press release:

Aggressive Central Bank Actions Will Continue As Long As Global Economic Prospects Remain Bleak, According to BNY Mellon-Sponsored Report
jlne.ws/NSL5nt

The report summary is unsurprising, but it misses out on a key supporting concept: This is not merely a money issue. Underneath the plans and goals of the global monetary system live billions of people. Those people, whether running the banks or living in the effects of the economy, will latch quickly onto whatever makes them feel better or live better, and they will not willingly relinquish those life benefits simply to re-tune a system. Witness the reactions around the world to austerity programs and proposals: nobody wants to give up comfort or security to fix budget problems, whether individual, national or global.

Personally, I think that’s a combination of, “Why should I live a hard life so that others can be more comfortable?” and “I have no assurance that by living a harder life, the incompetent administrators of my home/country/planet will actually fix anything for the future.” The first complaint, I can argue against in at least a couple of limited ways (not the least of which may be, “Because the money just isn’t there anymore”). The second… not so much.

For the rest of the commentary, visit the JLN Forex blog at jlne.ws/QdPa2i
Get daily FX and economic news at jlnforex.com
Twitter? Twitter! twitter.com/JLNForex

JLN Interest Rates

Spain to pass reforms, budget cuts with eye on aid
Reuters
Reforms come as social tension, market pressure rises
* New taxes seen on stock transactions, greenhouse gases
* Rajoy’s image hit by cigar pictures
* Wage freeze for public servants to be extended
*Spain to cut infrastructure, culture budget – reports
jlne.ws/VO5HxW

Spain’s Budget
FT.com
Welcome to a live blog with analysis and comment from FT experts as Spain’s cabinet gives details of a savage budget that will determine the immediate future of the country and relation with the rest of Europe. Watching closely: Eurozone partners; central banking institutions; the Spanish people; regional separatists, to name a few. Strong reaction is expected, from the market and the street, to further austerity measures. David Gardner, John Aglionby and Ben Fenton are collating the best of it.
jlne.ws/OrO9sg

Spain Default Swaps Head for Record Monthly Drop Before Budget
Bloomberg Businessweek
Spanish bond risk is heading for its biggest monthly decline before Prime Minister Mariano Rajoy approves a budget that will cut the deficit by at least 18 billion euros ($23.2 billion) next year.
jlne.ws/S2mkaS

MarketsWiki

MarketsWiki Page of the Day
Michael Turek
jlne.ws/PIHsih

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MarketsWiki Recent Updates

People

Brian Fox; Michael Turek; Sheila C. Bair

Companies, Organizations and Groups

Ernst & Young LLP; INTL FCStone Inc

Miscellaneous

Mergers and acquisitions

Statistics

28,931,270 pages viewed, 7,121 articles, 147,907 edits
MarketsWiki Statistics

Lead Stories

Fears over counterparty rules dent LSE
Adam Jones and Philip Stafford – FT.com
Shares in the London Stock Exchange fell on Friday after it told investors that new European regulations would have a significant impact on LCH.Clearnet, the clearing house that is poised to come under the LSE’s control.
jlne.ws/QKe2iR

FSA seeks to mend Libor, not end it
Reuters via Yahoo! News
LONDON – The Financial Services Authority, in a much-awaited reform of benchmark interest rates that have been plagued by scandal, outlined a 10-point plan to fix Libor but stopped short of scrapping the rates.
jlne.ws/QKe1LI

Asian energy markets liquid enough to sidestep Dodd-Frank compliant firms
Alex Davis – Asia Risk
There is enough liquidity in Asian energy markets for firms in the region to avoid the Dodd-Frank Act swap dealer requirements by not trading swaps with US-domiciled firms, according to exchange provider CME Group.
jlne.ws/QKe1LL

Money Fund Deal-Making Resumes After Geithner Breaks U.S. Logjam
Joshua Gallu, Christopher Condon and Cheyenne Hopkins – Bloomberg
One month ago, a U.S. Securities and Exchange Commission proposal to tighten rules for the $2.6 trillion money market mutual fund industry was declared dead. Now, it’s coming back to life.
jlne.ws/QKe2z9

Central Bank, Overnight Rates Suggested as Libor Alternatives
Dow Jones
Central bank policy rates or overnight lending rates could be used as alternative benchmarks to Libor, the interbank lending rate at the center of a global financial scandal, respondents to a British review of Libor said in a report published Friday.
jlne.ws/QKe2zc

EU to Focus on Banks’ Collusion With Markit in Antitrust Probe
Aoife White – Bloomberg
European Union antitrust regulators will focus on possible collusion between Markit Group Ltd. and 16 investment banks including Goldman Sachs Group Inc. (GS) and JPMorgan Chase & Co. after suspending a parallel probe into clearing deals between nine of the lenders and ICE Clear Europe.
jlne.ws/QKe1LM

DealBook: Geithner Urges an Overhaul of Rules on Money Market Funds
New York Times
Treasury Secretary Timothy F. Geithner urged the Financial Stability Oversight Council, a committee of regulators, to push ahead with rules aimed at strengthening America’s money market funds.
jlne.ws/QKe2zd

Esma backtracks on indirect clearing
Joe Rennison – Risk magazine
Controversial proposals that would have made it compulsory for clearing members to offer untested indirect clearing services in over-the-counter derivatives markets have been overhauled after banks condemned them as “unworkable”.
jlne.ws/QKe1LR

Prosecutors Say Wasendorf Must Account for Money Before Bail
JACOB BUNGE – WSJ.com
U.S. prosecutors told a federal judge Thursday that the chief executive of Peregrine Financial Group Inc. should stay in jail pending his sentencing in a long-running fraud, unless he can account for some $200 million in missing money.
jlne.ws/QKe2zg

[Video] Liquidnet CEO: Limit High-Frequency Trading
FOX Business
Liquidnet CEO Seth Merrin explains what’s wrong with high-frequency trading.
jlne.ws/QKe227

Morning Links: In Defense of High Frequency Trading
Wall Street Journal Blogs
A roundup of blog posts and articles from around the web.
jlne.ws/QKe2zo

How Bernanke Pulled the Fed His Way
JON HILSENRATH – WSJ.com
In late August, Federal Reserve Chairman Ben Bernanke argued on behalf of Fed programs to stimulate the lumbering U.S. economy and signaled that more might follow, making headlines in his highly anticipated speech at the Fed’s annual retreat in Jackson Hole, Wyo.
jlne.ws/QKe2zp

Greece to seek fresh austerity deal
Kerin Hope in Athens and Joshua Chaffin in Brussels – FT.com
The leaders of Greece’s fractious coalition government agreed on Thursday on the “basic outlines” of a new E13.5bn package of spending cuts and tax increases, opening the way for negotiations to resume next week with its international lenders officials
jlne.ws/QKe2PF

Spain crafts crisis budget with fresh cuts
Miles Johnson in Madrid and Peter Spiegel in Brussels – FT.com
The Spanish government has announced its fifth round of budget cuts and tax increases in just nine months, as part of a reform package that could pave the way for an EU bailout and sovereign debt purchases by the European Central Bank.
jlne.ws/QKe2PH

Regulatory

Wall Street regulator questions sales of complex securities
Reuters via Yahoo! News
The Financial Industry Regulatory Authority is looking at potential conflicts of interest and financial incentives stemming from sales of complex securities by major brokerages, the head of the Wall Street regulator said on Thursday.
jlne.ws/QKe22c

SEC Review Finds Gaps on Insider Trading at U.S. Broker-Dealers
Bloomberg
Traders at broker-dealers often interact with bankers who know confidential information, raising concerns about undetected insider trading, the U.S. Securities and Exchange Commission said.
jlne.ws/QKe22d

SEC Issues Report on Brokerage Firms’ Handling of Confidential Information
Press Release
The Securities and Exchange Commission today issued a staff report intended to help broker-dealers safeguard confidential information from misuse, such as insider trading. The report by the Office of Compliance Inspections and Examinations (OCIE) describes strengths and weaknesses identified in examinations into how broker-dealers keep material nonpublic information from being misused.
jlne.ws/QKe22e

U.S. Libor Probers Said to Seek London Trader Interviews
Bloomberg
U.S. investigators conducting a criminal probe of interest-rate manipulation have asked their British counterparts for permission to interview London traders, two people familiar with the investigation said.
jlne.ws/QKe2PN

U.S. Banks’ Leverage Should Be Halved to Cut Risks, Bair Says
Yalman Onaran – Bloomberg
Banks should be required to reduce by half the amount they can borrow against equity to make the financial system safer, according to former Federal Deposit Insurance Corp. Chairman Sheila Bair.
jlne.ws/QKe22f

Pushing The Reset Button On LIBOR – Speech By Martin Wheatley – Managing Director, FSA, And CEO Designate, FCA At The Wheatley Review Of LIBOR
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The Wheatley Review Of LIBOR – Final Report And findings
jlne.ws/QKe22j

Remarks by Chairman and CEO Richard G. Ketchum From the SIFMA Complex Products Forum—9/27/12
jlne.ws/UNA21J

Remarks by Executive Vice President, Member Regulation Sales Practice Susan F. Axelrod From the SIFMA Complex Products Forum—9/27/12
jlne.ws/QKe2PT

WFE Reaffirms Support Of Regulatory Action In Global Derivatives Market Following Publication Of New Study
jlne.ws/QKe4XL

FINRA Issues New Investor Alert: When Trading Stops: What You Need To Know About Halts, Suspensions And Other Interruptions
The Financial Industry Regulatory Authority (FINRA) today issued a new Investor Alert called When Trading Stops: What You Need to Know About Halts, Suspensions and Other Interruptions. While trading in most stocks takes place without interruption, FINRA’s new Alert explains how, when and why interruptions in trading occur, and discusses both what brokers are required to do and what investors should do in these situations.
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ASIC extends relief from regulation for all funded representative actions and funded proof of debt arrangements
jlne.ws/QKe4XQ

FOFA – ASIC consults on conflicted remuneration provisions
jlne.ws/QKe4XU

Relief decisions: February to May 2012
jlne.ws/QKe4XW

ASIC grants first licence authorisations for emissions units
jlne.ws/QKe36g

[Japan] FSA publishes an English translation of the Guideline for the English-Language Disclosure System
jlne.ws/QKe4XY

British Bankers’ Association Statement On Conclusions Of Wheatley Review Into LIBOR
jlne.ws/QKe4Y0

New Zealand’s Financial Markets Authority Completes Licensing Of Securities Trustees And Statutory Supervisors
jlne.ws/QKe36j

Exchanges & Trading Facilities

Change In The Chairmanship Of The SIX Board Of Directors
Peter Gomez is to pass on his mandate as Chairman of the Board of Directors of SIX to a younger pair of hands. He will do so at the general meeting of shareholders at the end of May 2013, following an orderly process to find a successor.
jlne.ws/QKe36k

SIX Exchange Regulation reaches an agreement with International Minerals Corporation
SIX Exchange Regulation has reached an agreement with International Minerals Corporation in connection with a breach of International Financial Reporting Standards in their interim financial statements 2011/2012. The violations identified relate to the presentation of the income statement as well as disclosures regarding the valuation of securities held. As a condition of the agreement, the company committed to invest in IFRS-training for their employees.
jlne.ws/QKe4Y3

NYSE Euronext Announces Early Results of Tender Offer for Any and All of Its 4.80% Notes Due 2013
NEW YORK–(BUSINESS WIRE)–NYSE Euronext (NYX) (the “Company”) today announced the early results of its previously announced cash tender offer (the “Offer”) to purchase any and all of its outstanding 4.80% Notes due 2013 (the “Notes”).
On September 14, 2012, the Company commenced the Offer to purchase the Notes in accordance with the terms and conditions set forth in an Offer to Purchase dated September 14, 2012 and related Letter of Transmittal (collectively, the “Offer Documents.”

Marketing Leaders Unite at the New York Stock Exchange on October 2 for the 4th Annual Executive Marketing Summit Hosted by NYSE Euronext, The New York Times, Interbrand and CNBC
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NZX Announces Board Changes
NZX is delighted to announce the appointment to the NZX Board of Simon Power and Therese Walsh. Simon’s appointment is effective from December 1 2012 and Therese from February 1 2013.
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Program Trading Averaged 48.6 Percent of NYSE Volume during Sept. 17-21
jlne.ws/QKe36o

NYSE EURONEXT ANNOUNCES PRICING OF TENDER OFFER FOR ANY AND ALL OF ITS 4.80% NOTES DUE 2013
jlne.ws/QKe3mF

Hedge Funds & Managed Futures

Investors to Double Infrastructure Investments, Templeton Says
Bloomberg
Investors worldwide are increasing their holdings in infrastructure assets to meet growing demand for financing to upgrade electricity, water and traffic projects, said Joyce Shapiro, managing director at Franklin Templeton Investments.
jlne.ws/QKe3mJ

Brevan Howard Hires Deutsche Bank’s Pande for New U.S. Group
Bloomberg
Pande, 55, will start Oct. 1 as head of a team including Gerald Lucas and two other researchers, he said today in a telephone interview. The group will be managing money for Brevan Howard U.S. Investment Management LP, which was set up in June, Pande said.
jlne.ws/QKe5en

Former SAC manager joins CQS
Harriet Agnew – Financial News
A former portfolio manager at the London office of US hedge fund SAC Capital, who was re-hired by the firm the year after he was let go, has emerged at London manager CQS.
jlne.ws/QKe5eo

Altegris Continues To Grow With Two New Appointments
Altegris, providers of premier alternative investments, has announced the expansion of its team of seasoned industry sales and consulting professionals to complement the firm’s ongoing growth and expansion.
jlne.ws/QKe3mR

Fewer Wealthy Americans Say They’re Conservative Investors
New York Times
A survey finds a shift in attitude toward conservative investments among rich Americans over the last two years.
jlne.ws/QKe3mT

Investment returns slow
Yale Daily News
Though Yale returned 4.7 percent on its investments in the latest fiscal year — beating the performances recorded by two other Ivy League schools so far — the value of its endowment slipped by $100 million because spending distributions outpaced growth.
jlne.ws/QKe5ep

EDHEC-Risk Institute And CFA Institute To Reinforce Their Executive Education Partnership
jlne.ws/QKe5eq

Man Group investor presentation, September 2012
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Banks & Brokers

BofA Reaches $2.43 Billion Deal With Investors Over Merrill
Bank of America Corp., the second- largest U.S. bank by assets, agreed to a $2.43 billion settlement with investors who suffered losses after the lender purchased Merrill Lynch & Co.
http://jlne.ws/OZCyRb

Goldman Sachs settles SEC charges for almost $12M
Associated Press via Yahoo! News
Goldman Sachs has agreed to pay nearly $12 million to settle civil charges accusing one of its executives of providing campaign services to a Massachusetts official in return for bond business.
jlne.ws/QKe5et

IMA balks at ‘overly specific’ pay rules
Sarah Krouse – Financial News
The Investment Management Association wants Europe’s securities regulator to allow the buyside to take a principles-based approach to remuneration, rather than subjecting asset managers to the same prescriptive pay rules as banks.
jlne.ws/QKe5ew

Banks’ M&A earnings hit post-Lehman low
Anousha Sakoui and Daniel Schäfer in London and David Gelles in New York – FT.com
Investment bank earnings from mergers & acquisitions and debt and equity capital markets has slowed to a low not seen since the collapse of Lehman Brothers, with 2012 on course to be the worst year for the industry since 2004.
jlne.ws/QKe5ey

BGC Partners Updates its Third Quarter 2012 Financial Outlook
BGC Partners, Inc., a leading global brokerage company primarily servicing the wholesale financial and real estate markets, today updated its financial outlook for the third quarter ending September 30, 2012.
jlne.ws/QKe5ez

Website troubles for some PNC customers
Chicago Tribune
In the wake of Internet service attacks on JPMorgan Chase & Co., Bank of America, Wells Fargo and other institutions, PNC Bank said Thursday some online customers are continuing to have difficulty logging in.
jlne.ws/QKe3Di

Deutsche Bank Unit Sued Over $183 Million in Securities
Bloomberg
Deutsche Bank AG ’s DB Structured Products unit was sued in state court in New York by Ace Securities Corp. over $183 million in mortgage-backed securities.
jlne.ws/QKe5uN

Morgan Stanley debuts ad campaign for renamed unit
BtoB Magazine
New YorkInvestment bank Morgan Stanley announced that its U.S. wealth management business, Morgan Stanley Smith Barney, has been renamed Morgan Stanley Wealth Management.
jlne.ws/QKe5uO

Clearing & Settlement

LCH.CLEARNET REGULATORY CAPITAL UPDATE; RESULTS OF ESMA/EBA CONSULTATION
The European Securities and Markets Authority and the European Banking Authority have now both published the advice which they have provided to the European Commission in connection with new technical standards for the regulatory requirements for European central counterparties under the European Market and Infrastructure Regulation.
jlne.ws/QKe5uQ

CME Group: NYMEX Options Expiration Operational Procedures for the Trading Floor and Clearing Members (6E, BQP) Effective Friday, September 28, 2012
jlne.ws/QKe5uS

CME Group: CLARIFICATION: TIMING OF ACCEPTANCE OF OTC SWAPS FOR CLEARING
jlne.ws/QKe3Dm

Indexes & Products

Equity ETFs march forward
Mike Foster – Financial News
Exchange-traded funds which track equity indices in the US are continuing to make headway at the expense of mutual funds, as investors speculate on the short-term movement of stocks, rather than putting their faith in the long-term performance of active managers.
jlne.ws/QKe5uU

Comparing E-minis and ETFs
By CME Group
While E-mini stock index futures and exchange-traded funds have both grown rapidly in the past 15 years, E-mini trading dwarfs that in EFTs while offering several other advantages, according to a study written by CME Group Managing Director John Labuszewski.
jlne.ws/QKe3TG

Technology

SunGard Launches Asset Arena 360 for Boutique Asset Managers
SunGard has launched Asset Arena 360, a new solution that will help boutique asset managers control their cost of operations, raise assets and shoulder the increasing burden of due diligence and compliance. SunGard’s Asset Arena 360 brings front and middle office processes onto a single platform, providing a complete view of clients’ investments and exposures.
jlne.ws/QKe3TH

Bank Hackers Got Help From Nation, Botnets: Report
MarketWatch
A series of denial-of-service attacks on the websites of major U.S. financial firms likely received help from a foreign government or major “botnet” network, the New York Times reported Thursday.
jlne.ws/QKe3TI

Oslo Market Solutions Enables Burgundy Market Data
Users of Oslo Market Solutions (OMS) can now access Burgundy market data.
jlne.ws/QKe5v5

Enforcement

CFTC Orders JP Morgan Chase Bank, N.A. to Pay $600,000 Civil Monetary Penalty for Violating Cotton Futures Speculative Position Limits
The U.S. Commodity Futures Trading Commission (CFTC) today announced that JP Morgan Chase Bank, N.A. (JPMCB) agreed to pay a $600,000 civil monetary penalty to settle CFTC charges that it exceeded speculative position limits in Cotton No. 2 futures contracts trading on the IntercontinentalExchange U.S. (ICE).
jlne.ws/QKe5Ll

CFTC Charges iFinix Futures, Inc. and Its Senior Executive Officer, Connecticut Resident Benhope Marlon Munroe, with Making False Statements to the National Futures Association and Failing to Meet Minimum Financial Requirements
The U.S. Commodity Futures Trading Commission (CFTC) today filed a civil enforcement action against registered independent introducing broker iFinix Futures, Inc. (iFinix), based in Plainview, N.Y., and iFinix’s senior executive officer, Benhope Marlon Munroe of New Milford, Conn. iFinix has also done business under the name Pro-Active Futures.
jlne.ws/QKe5Ln

CFTC Orders Australia and New Zealand Banking Group Ltd. to Pay $350,000 Penalty for Violating Wheat and Cotton Futures Speculative Position Limits
The U.S. Commodity Futures Trading Commission (CFTC) today announced the filing and simultaneous settlement of charges against Australia and New Zealand Banking Group Ltd. (ANZ), an Australia-based financial services company, for exceeding speculative position limits in wheat and cotton futures contracts in trading on the Chicago Board of Trade and the IntercontinentalExchange U.S. (ICE Futures US).
jlne.ws/QKe5Lq

CFTC: Florida Federal Court Orders Claudio Aliaga And His Company, CMA Capital Management, LLC, To Pay $5.5 Million In Penalties And Restitution For Operating A Forex Ponzi Scheme
The U.S. Commodity Futures Trading Commission (CFTC) today announced that it obtained a judgment for $5.5 million in restitution and civil monetary penalties against
jlne.ws/QKe5Lr

SEC Charges Goldman Sachs and Former Vice President in Pay-to-Play Probe Involving Contributions to Former Massachusetts State Treasurer
The Securities and Exchange Commission today charged Goldman, Sachs & Co. and one of its former investment bankers with “pay-to-play” violations involving undisclosed campaign contributions to then-Massachusetts state treasurer Timothy P. Cahill while he was a candidate for governor.
jlne.ws/QKe5Ls

SEC Charges Investment Bank Analyst with Illegally Tipping College Friend About Nonpublic Merger Deals
The Securities and Exchange Commission today charged a former analyst at a Boston-based investment bank with illegally tipping a close friend with confidential information about clients involved in impending mergers and acquisitions.
jlne.ws/QKe5Lt

Ex-Goldman programmer rejects plea deal with NY: lawyer
Reuters via Yahoo! News
NEW YORK – A former Goldman Sachs Group Inc computer programmer indicted on charges of stealing trade secrets has rebuffed a plea offer that would keep him out of prison, his lawyer said on Thursday.
jlne.ws/QKe3TV

God Of The Dead Hedge Fund Mummified By Feds
Bill Singer – Forbes
Michael J. Spak, 44, Chesterfield, NJ, had this idea — some might call it a game-plan — to get prospective investors to put their hard-earned bucks into the Osiris Fund Limited Partnership.
jlne.ws/QKe5Lv

UBS “rogue trader” did not act alone, lawyer says
Reuters via Yahoo! News
Kweku Adoboli, a “rogue trader” accused of bringing UBS to the brink of collapse, learnt his behavior from colleagues at the Swiss bank who later “stabbed him in the back”, his defense lawyer told a London court on Thursday.
jlne.ws/QKe5LA

Former Credit Suisse Banker Tried to Settle Charges
BRUCE ORWALL AND CHAD BRAY – WSJ.com
Former Credit Suisse Group AG investment-banking executive Kareem Serageldin was in advanced talks to possibly resolve fraud charges against him in the U.S. when he was arrested by police here on Wednesday, his lawyer told a U.K. court.
jlne.ws/QKe61P

Environmental & Energy

California May Issue More Refiner Carbon Permits, Nichols Says
Bloomberg
California may consider issuing more free carbon permits to oil refiners after the first auction of allowances in November, Mary Nichols, the state air chief, said at a conference today in San Francisco.
jlne.ws/Pbhqlc

Factbox: Carbon trading schemes around the world
Reuters
Carbon trading schemes are emerging all over the world as governments try to meet greenhouse gas emissions reduction targets in the fight against climate change.
jlne.ws/SH0Dg8

U.S. utilities may return to coal as natgas prices rise
Reuters
The recent rise in U.S. natural gas prices and decline in coal prices is set to put a dent in demand for natural gas as some utilities resume using more coal to generate electricity.
jlne.ws/QK11FW

Asia-Pacific

Nomura’s prime origination head in Asia Pac quits: sources
Reuters via Yahoo! News
Nomura Holdings Inc’s head of prime brokerage origination in Asia Pacific, Mia Bourgeois, is leaving the firm, two sources familiar with the matter said.
jlne.ws/QKe61T

Scaramucci Picking Singapore Shows City as Hot Spot
Bloomberg
When Anthony Scaramucci wanted to bring SALT, the largest U.S. annual hedge-fund schmooze fest, to Asia for the first time, he toured five cities looking for a venue.
jlne.ws/QKe61W

Citigroup’s Park Sees ‘Explosive’ Rebound in Korean M&A Deals
Bloomberg
Acquisitions by South Korean companies are set to rebound as much as 30 percent in 2013, from a seven-year low this year, as a stronger won and improved earnings drive overseas purchases, according to Citigroup Inc.
jlne.ws/QKe621

Third Issue Of The Hong Kong Mercantile Exchange Exchange News
Hong-Kong based Golden Mountain Futures joins as newest broking member, bringing HKMEx total number of members to 33; HKMEx becomes the first international exchange to have signed up all authorized mainland brokerages in Hong Kong; New leadership; HKMEx surpasses the 2 million contracts mark
jlne.ws/QKe4ae

SIX Financial Information Expands Asia Pacific Presence With Platform Equinix
Business Wire via Yahoo! Finance
Equinix, Inc., the global interconnection and data center company, today announced that SIX Financial Information, a division of SIX, which includes the leading regulated securities exchange in Europe, has deployed its second Asia Pacific infrastructure node in Japan.
jlne.ws/QKe622

Tokyo Grain Exchange: Maximum Rate For Additional Discharging Ports Charges
jlne.ws/QKe624

Frontier Markets

Bad debts hit profits at Mauritius Commercial Bank
Reuters via Yahoo! News
Mauritius Commercial Bank posted a 6.2 percent fall in full-year pretax profits due to higher charges on bad debts held in its book, it said on Thursday.
jlne.ws/QKe4ah

MCX Weekly Market Report September 21, 2012 – September 27, 2012
Please click
jlne.ws/QKe4ak

Miscellaneous

New York Plaza District Offices Empty as Banks Cut Space
Bloomberg
Manhattan’s Plaza district, the area near Central Park that commands the nation’s highest office rents, has a glut of space as financial firms cut back and tenants seek trendier neighborhoods south of Midtown.
jlne.ws/QKe4al

After Lehman, Callan Bids New York Farewell
WILLIAM ALDEN – NYTimes.com
Erin Callan, the former chief financial officer of Lehman Brothers, is headed for warmer climes. She is looking to sell her East Hampton house for $3.95 million, according to a listing with the real estate broker Saunders.
jlne.ws/QKe6il