NYSE Group Acquires Crossing System Technology From MatchPoint Trading
The NYSE Group has acquired a crossing system from MatchPoint Trading. Details of the transaction were not reported.
The holding company, which operates two securities exchanges - The New York Stock Exchange (NYSE) and NYSE Arca (formerly Archipelago Exchange or ArcaEX) expects to utilize the MatchPoint technology within the first quarter of 2007 to enhance the crossing services offered by the NYSE.
"This acquisition gives the NYSE Group and its clients a strong platform for technological growth in benchmark trading," stated Mike Cormack, NYSE Group EVP, in the release.
"This is a significant step toward our goal of offering customers the most comprehensive and all-encompassing set of trading technology solutions that meet their needs and exceed their expectations," Cormack added.
Jim Ross, founder and CEO of MatchPoint, will joint the NYSE Group as VP of Crossing Technology. "By bringing our innovative point-in-time benchmark crossing services to the NYSE Group, we can now offer the advantages of the MatchPoint engine to investors, issuers and market professionals around the world," stated Ross, in the release.
The exchange operator will use the crossing technology and the crossing industry expertise to develop and establish attractive crossing opportunities for institutions and brokers, said the release.
NYSE Group expects to implement the MatchPoint technology to enhance the crossing services it provides in the first quarter of 2007.
Matchpoint Technology offers a proprietary electronic equity crossing system that matches aggregated orders at predetermined and distinct times, at prices that are derived from the primary market for securities (NYSE, Amex and Nasdaq), according to the release.
Matchpoint can also operate multiple matches each with unique benchmark pricing model. The crossing technology is geared to portfolio traders who manage multiple lists with different time and execution constraints, said the release. MatchPoint can also process internal crosses for single participants and enable residuals to participate in scheduled crossing sessions, according to the release.