33 J. Corp. L. 865 (2007-2008)
For Whom the Bell Tolls: The Demise of Exchange Trading Floors and the Growth of ECNs

handle is hein.journals/jcorl33 and id is 873 raw text is: For Whom the Bell Tolls: The Demise of Exchange Trading
Floors and the Growth of ECNs
Jerry W. Markham* and Daniel J. Harty**
I. INTRODUCTION                 ........................................................................................................... 866
II. EXCHANGE               TRADING-             SOME        HISTORY           .................................................................... 867
A. Development of Stock Exchange Trading in the United States ............................ 867
B.    D   evelopment of             Futures         Trading        on    Exchange           Floors        ....................................... 871
C.    The     Regulatory           Era     ............................................................................................. 874
D. M     arket Convergence ............................................................................................ 880
E. The       Role      of   the   Exchange ..................................................................................... 882
III. ELECTRONIC                TRADING           ARRIVES ............................................................................... 887
A. Automation               Arrives       in   the    Futures        Industry        ......................................................... 887
B. Automation              Arrives        in   the    Securities         Industry        ...................................................... 897
C. Scandals ............................................................................................................... 900
D. The        ECNs Arrive .................................................................................................. 902
E. Nasdaq           and     N   YSE     Responses ............................................................................... 907
IV. REGULATING                  THE     ECNS        .......................................................................................... 911
A. Securities Industry                  ................................................................................................ 911
B. Derivatives Industry                     ............................................................................................. 914
V. REGULATORY                   CHALLENGES-                  POST      TRADING           FLOOR .............................................. 916
A. Derivative             M   arkets ............................................................................................... 916
B. Securities M             arkets ................................................................................................ 924
C. Regulatory              Challenges ......................................................................................... 927
D. ECNs: Pros                and     Cons .......................................................................................... 930
E. Financial M              arket Fees          ......................................................................................... 933
F. Effects         on   Regulators ............................................................................................ 937
VI. CONCLUSION                  ............................................................................................................ 939

* Professor of Law, Florida International University School of Law at Miami.
** General Counsel and Director of Compliance, Iowa Grain Company.

What Is HeinOnline?

With comprehensive coverage of government documents and more than 2,300 journals from inception on hundreds of subjects such as political science, criminal justice, and human rights, HeinOnline is an affordable option for colleges and universities. Documents have the authority of print combined with the accessibility of a user-friendly and powerful database.



Short-term subscription options include 24 hours, 48 hours, or 1 week to HeinOnline with pricing starting as low as $29.95

Already a HeinOnline Subscriber?