Summit Notebook

Exclusive outtakes from industry leaders

NYSE if Grasso were in charge? Bankrupt, says Liquidnet CEO


The emergence of off exchange stock trading in the United States in the past 10 years has eaten away at the market share of the New York Stock Exchange and Nasdaq by breaking their duopoly.

But those two U.S.-based exchanges have had strong management to help them weather the storm, Liquidnet CEO Seth Merrin said at the Reuters Global Exchanges and Trading Summit.

Europe only last year began to allow competition for stock trading with the introduction of new European Union rules known as MiFID, which have forced the London Stock Exchange to slash prices.

But Merrin said that exchange CEO’s used to operating in a monopoly or duopoly are ill equipped to help navigate their businesses in a more competitive environment.