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Each exchange can make its own rules for what it will list and how it will trade (within the broader SEC regulations). So yes it’s just a way to capture fees f
by kasey_junk 1y ago
Each exchange can make its own rules for what it will list and how it will trade (within the broader SEC regulations).
So yes it’s just a way to capture fees from listers who like your exchange better as the primary listing exchange and from market participants that must be in every exchange (latency sensitive HFT).
None of the many exchanges that have started have made a dent in the existing duopoly for real share listings that Nasdaq/nyse have. But some exchanges have made good business off of other products like etfs.
- DontchaKnowit 1y agoOr options products, e.g. cboe
- kkukshtel 1y agoThis sounds like the sort of "norms" thing that a GOP-leaning state would abuse to circumvent SEC regulations by somehow declaring a state-owned exchange as some sort of SEZ to allow unregulated exchange between domestic and (primarily) foreign entities.
- mcmcmc 1y agoTexas is famously fraud friendly as well
- CGMthrowaway 1y agoSo in other words, healthy competition, and may the best man win. Contrary to many comments this is more than political reaction/posturing. The state of Texas is the world's 8th largest GDP and a diverse one, with no one sector exceeding 9%. Texas is well-positioned relative to NYC for attention around AI, as it is not geographically constrained and has an energy advantage. There is financial credibility built in as 10% of NYSE listings are already HQ'd in Texas. And Texas has a pro-business regulatory environment. This isn’t a zero-sum game where Texas grows at New York’s expense. The hope is it creates a larger, more dynamic market.
- kasey_junk 1y agoNYSE Texas didn’t see a huge influx of listings when they moved there and changed their rules. I don’t think “Texas” is particularly interesting to the conversation given the dominant regulatory regime will be federal and the trading will happen in NJ but I could be wrong. There are lots of stock exchanges, which have started for lots of reasons but there isn’t really much of an industry desire to be out of nyse/nasdaq for vanilla listings. If there was it would have already happened. Seems like a publicity stunt to siphon some regnms traffic and maybe some etf listings to me, but no big drama if not.
- tomrod 1y agoAll true. Texas worker environment is not great though. Folks typically list income tax as an advantage but property and sales taxes more than make up the difference. Also, govt admin is fairly hostile to any infrastructure expansion, preferring to let the local car dealers buy new town charters with no infrastructure. Environmental regs are not well managed generally. Anyhow, not the worst state, not the best. Pretty balanced economy, like Ohio, Illinois, California, and Georgia.
- ohples 1y ago> preferring to let the local car dealers buy new town charters with no infrastructure. I'm curious what this is referring to.
- CGMthrowaway 1y agoProbably talking about Starbase (elon musk).
- danielmarkbruce 1y agoTo add on the "make it's own rules" point. This is a real thing, there are stupid rules which have been put in place at various moments and many companies are sick to death of it. https://chatgpt.com/share/68e6a1a5-e634-8002-ac97-6e2e36052e50 https://chatgpt.com/share/68e6a1a5-e634-8002-ac97-6e2e36052e...
- missingcolours 1y agoAs a concrete example, Nasdaq had a rule requiring boards of directors to have a certain amount of "diversity".