Nasdaq Cries Foul Over Exchange Petition
Traders Magazine, June 2003
Nasdaq is working at a disadvantage- it is operating under a regulatory structure that dates back to the 1930s. And it is still part of a regulatory organization even though it is going to become a for-profit exchange, according to Nasdaq chairman Robert Greifeld. That's why the Securities and Exchange Commission should act on its pending exchange application petition, he said. In some of his early public comments - made at a Securities Industry Association conference in New York City - Greifeld said: "We do not believe that good governance is having a regulator who has an interest in the money center it regulates." The National Association of Securities Dealers remains Nasdaq's parent until the SEC approves its petition. However, both Nasdaq and the NASD have separate boards. Greifeld underlined Nasdaq's frustration with the pending application when he took a question from Lanny Schwartz, the Philadelphia Stock Exchange's general counsel. Schwartz asked why governance is so vital.
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