By Justin Grant
The U.S. Securities and Exchange Commission is expanding its probe of exchange-traded funds in a bid to figure out what role they may be playing in an increasingly volatile marketplace, according to a report by Reuters.
The SEC decided to expand its investigation after a sizable trade in a large, liquid ETF failed to settle within four days, Reuters said. The news agency added that regulators in the U.S. and UK are looking into whether so-called settlement fails – when ETF transactions are not completed on time – are making the marketplace more volatile.
The investigation is also an attempt by regulators to pin down what role high-frequency trading may play in such situations. ETFs are securities that trade like stocks on an exchange, but are designed to track indexes, commodities or even baskets of assets like index funds.
u.s. securities and exchange commission, united kingdom, united states, reuters, finance, financial economics, investment, funds, financial services, index fund, futures exchange, etf securities, spdr, thomson reuters group ltd
16 days ago,(2015/03/16) - LMAX
London, 16 March 2015 - LMAX Exchange, the world leading FCA regulated MTF for global FX and the UK’s fastest growing technology firm, has launched LMAX Prime, a prime o...
20 days ago,(2015/03/12) - Trading Technologies
Software Provider’s Link to Nasdaq Futures Platform as a Preferred Vendor Will Provide Traders More Choices for Futures and Options Based on Key Energy BenchmarksExpands...
7 days ago,(2015/03/25) - Fidessa
Canadian investment manager extends use of fully managed buy-side solution Boston, March 25th, 2015 – Fidessa group plc (LSE: FDSA) today announced that Fiera Capital C...
27 days ago,(2015/03/05) - Trading Technologies
Financial Markets Engineering supports GMEX Exchange London & Chicago, 4th March 2015. Global Markets Exchange Group Limited (GMEX), which operates GMEX Exchange, an...