Commentary

John Turney
Traders Magazine Online News

Foreign Exchange Infrastructure: Yesterday, Today and Tomorrow

In this exclusive to Traders Magazine, John Turney, Global Head of Outsourced FX at Northern Trust, discusses the evolution of the fx infrastructure and what is to come.

Traders Poll

What is your favorite movie about trading?

Wall Street

23%

The Big Short

13%

Margin Call

6%

Equity

0%

Trading Places

38%

The Wolf of Wall Street

8%

Boiler Room

7%

Arbitrage

0%

Too Big to Fail

5%

Free Site Registration

April 1, 2004

The Heavy Costs Of NMS Reform

By

The trading industry could be reeling from the price tab for the proposed SEC NMS market structure reforms. The agency has estimated that it would cost $1 billion to implement the trade through proposals over the first two years. The SEC calculates it would cost order execution facilities about $247 million retooling technology. Then there is another $75 million a year in upkeep. Broker dealers would have to find close to $300 million to adjust systems for the opt-out and to report information to customers. The estimated annual maintenance bill is $207 million.