The Chicago Board of Trade (CBOT) has entered a licensing agreement to use Liffe Connect, the derivatives trading system used by pan-European exchange Euronext.Liffe, replacing the existing a/c/e platform currently being licensed from Eurex. The move marks the final nail in the coffin of the Eurex/CBOT alliance.“This new and improved functionality will provide the CBOT with a competitive advantage in a rapidly growing market,” said CBOT chief executive officer Bernard Dan. “We anticipate a seamless transition to the new platform over the next twelve months, as the majority of our current electronic trading volume comes from customers and members who are already established users of Liffe Connect and are familiar with the functionality and benefits offered by the platform.”
Eurex today announced it is in advanced talks with US regulators and market participants to prepare for a January 2004 launch of its own US exchange, when a/c/e (Alliance/CBOT/Eurex) formally ends."While this is first and foremost a technology agreement, the CBOT and Euronext.Liffe have also agreed to co-operate on a variety of product and distribution initiatives," said Hugh Freedberg, chief executive of Euronext.Liffe. The exchanges will make further announcements once research and development on "a number of joint product opportunities" have been completed, Freedberg added.
More on Exchanges
Onshore derivative market is the focus for Osaka Securities Exchange
China exchange developing technique to reduce margin requirements
Significant global players not on list to join Shanghai Clearing House
Taiex futures set to be followed by other products
Sign up for Risk.net email alerts
Sponsored webinar: IBM Risk Analytics
Nominated for two technology awards
Nominated for post trade technology award
Sponsored webinar: Collateral and counterparty tracking
There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.