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Texas has the headquarters of many companies, but how many are actually incorporated in Texas? What would the advantages be to a Texas exchange over NYSE or NAS

Texas has the headquarters of many companies, but how many are actually incorporated in Texas? What would the advantages be to a Texas exchange over NYSE or NASDAQ? I understand the desire for a different marketplace. But no matter where it is, they’ll still have to follow Federal securities laws, which will require some level of red tape. Many of those companies are national or multi-national companies. For example, Exxon has its headquarters outside of Houston, but is actually incorporated in New Jersey (According to Wikipedia). So, for them, what would the benefit be?

kllrnohj 2y ago
Don't they all incorporate in Delaware? Isn't that the thing to do because of the courts there?
- deleted 2y ago
  [deleted]
- mbreese 2y ago
  That was my assumption too, but it's not across the board. For example, AT&T, Inc (HQ in Dallas) is a Delaware Corp. But, I expect that any of these companies that have many years of history will have complex organizational structures. As such, I'm not sure what benefit a brand new exchange would have for them. If I were TXSE, what I'd be arguing is that the new market would have a benefit for new companies. Can you list faster with fewer requirements? Will there be capital available on the market? Can an IPO on their market be a replacement for later stage VC? These are the companies they'd want to recruit.
AJ007 2y ago
This is probably just a preemptive move in case of a New York state financial transaction tax and has less to do with any other political issues. This isn't "Texas" setting up their exchange, it's Blackrock and Citadel. The CME had this issue with Chicago/Illinois politicians demanding a financial transaction tax so they are did things to be set up to leave immediately if it passed.
- supplied_demand 2y ago
  ==The CME had this issue with Chicago/Illinois politicians demanding a financial transaction tax so they are did things to be set up to leave immediately if it passed.== Has a bill ever even existed to pass in Illinois? This idea seems to be brought up more as a scare tactic from the trading and business community than as a revenue generator from actual politicians.
  - limpbizkitfan 2y ago
    Chicago has always been fought over between speculative interests who want parts of the city to remain poor for cheap development, and more “citizen focused” groups that want the resource to be taxed for the betterment of all. Most of Ken Griffin’s work has been buying his family name on things and repeating anxieties about crime and (lack of) policing without actually providing solutions or even calling out root causes. But again, he’s not really a citizen of Chicago, nor the US. People at his level of control (his admitted price fixing, or moving trades to dark pools) have inherited and expanded on wealth to the point where they don’t need friends or social programs or infrastructure to live out 90 years on the planet.
willmadden 2y ago
[flagged]
- Finnucane 2y ago
  Where does it say that in the article?
  - deleted 2y ago
    [deleted]
- Yossarrian22 2y ago
  They can also list in their proxy statement why they don’t have a diverse board
  - deleted 2y ago
    [deleted]
  - willmadden 2y ago
    "Diverse board" is a euphemism for discriminating against those that are not defined as "diverse". It puts people in positions of authority based on their ethnicity, biological sex, and sexual orientation and therefore discriminates against others based on their ethnicity, biological sex, and sexual orientation.
    - willmadden 2y ago
      ... and to add, this is an egregious violation of the equal protection clause of the 14th amendment.

kllrnohj 2y ago

Don't they all incorporate in Delaware? Isn't that the thing to do because of the courts there?

deleted 2y ago
[deleted]
mbreese 2y ago
That was my assumption too, but it's not across the board. For example, AT&T, Inc (HQ in Dallas) is a Delaware Corp. But, I expect that any of these companies that have many years of history will have complex organizational structures. As such, I'm not sure what benefit a brand new exchange would have for them. If I were TXSE, what I'd be arguing is that the new market would have a benefit for new companies. Can you list faster with fewer requirements? Will there be capital available on the market? Can an IPO on their market be a replacement for later stage VC? These are the companies they'd want to recruit.

AJ007 2y ago

This is probably just a preemptive move in case of a New York state financial transaction tax and has less to do with any other political issues. This isn't "Texas" setting up their exchange, it's Blackrock and Citadel. The CME had this issue with Chicago/Illinois politicians demanding a financial transaction tax so they are did things to be set up to leave immediately if it passed.

supplied_demand 2y ago
==The CME had this issue with Chicago/Illinois politicians demanding a financial transaction tax so they are did things to be set up to leave immediately if it passed.== Has a bill ever even existed to pass in Illinois? This idea seems to be brought up more as a scare tactic from the trading and business community than as a revenue generator from actual politicians.
- limpbizkitfan 2y ago
  Chicago has always been fought over between speculative interests who want parts of the city to remain poor for cheap development, and more “citizen focused” groups that want the resource to be taxed for the betterment of all. Most of Ken Griffin’s work has been buying his family name on things and repeating anxieties about crime and (lack of) policing without actually providing solutions or even calling out root causes. But again, he’s not really a citizen of Chicago, nor the US. People at his level of control (his admitted price fixing, or moving trades to dark pools) have inherited and expanded on wealth to the point where they don’t need friends or social programs or infrastructure to live out 90 years on the planet.

willmadden 2y ago

[flagged]

Finnucane 2y ago
Where does it say that in the article?
- deleted 2y ago
  [deleted]
Yossarrian22 2y ago
They can also list in their proxy statement why they don’t have a diverse board
- deleted 2y ago
  [deleted]
- willmadden 2y ago
  "Diverse board" is a euphemism for discriminating against those that are not defined as "diverse". It puts people in positions of authority based on their ethnicity, biological sex, and sexual orientation and therefore discriminates against others based on their ethnicity, biological sex, and sexual orientation.
  - willmadden 2y ago
    ... and to add, this is an egregious violation of the equal protection clause of the 14th amendment.