Wall Street Letter Volume XLV Issue 17

THE DEFINITIVE SOUR CE FOR TR ADING NE WS VOL XLV ISSUE 17 23 - 29 MAY 2013 www.wallstreetletter.com IN THIS ISSUE News People moves 04 Focus Fee chart 10 MORE NEWS INSIDE TOP STORY CME starts work on bonds with BM&FBovespa The CME Group has started its work with BM&FBovespa to add bonds to the PUMA Trading System TURN TO PAGE 05 NSCC’s SLD plan worries participants collection process that would request additional liquidity from Some members of the National its top 30 members (based on Securities Clearing Corp. are trading activity levels) in order concerned about the details to pad the clearing fund against of a proposal from the utility the potential for default of these that would require some of its members. The additional cash largest members to contribute is intended to cover the largest extra cash to the clearing fund. liquidity needs for the utility on Disadvantages for some members regular and high-volume trading related to the ability to lower days (WSL Online, 4/1). liquidity obligations were among Agency brokers expressed concerns voiced in comment concerns about the relationship letters earlier this month, between the potential for new along with the desire to better cash obligations and the NSCC’s understand how the utility would credit facility, which holds calculate the obligations. committed liquidity from TURN The NSCC’s proposal participating members. TO PAGE from April said it wanted to The utility said in its incorporate an additional cash proposal that members 03 BY JEANENE TIMBERLAKE Credit Suisse’s Mathisson: Eliminate exchange, ATS distinctions Mathisson called for exchanges and alternative trading systems to be given equal status during a panel in New York. TURN TO PAGE 06 Exec: Margin requirements compromise a must The increased costs resulting from higher margin requirements are leaving firms with less capital says FCStone CEO Sean O’Connor TURN TO PAGE 06 V I S I T WA L L S T R E E T L E T T E R . C O M F O R U P - TO - T H E - M I N U T E I N V E S T M E N T N E W S