The New York Stock Exchange and a group of money managers are lobbying U.S. securities regulators to abolish the practice of paying rebates to large brokers to attract trades to stock exchanges and other trading platforms, according to three people familiar with the matter.
Infinium Capital Management LLC, a Chicago-based high-frequency trading firm, was sued by former employees who claim they were tricked into swapping loans to a company affiliate for equity, causing them to lose $4 million.
Warren Buffett’s proposal to take over NYSE Euronext, while rejected in favor of a higher offer last year, is boosting optimism that the world-famous stock picker sees a rebound in trading from a four-year low.
Pipeline Trading Systems LLC, the seven-year-old dark pool operator specializing in block trades, will pay $1 million to resolve U.S. claims it failed to provide the confidentiality and liquidity it advertised to customers.
BlueMountain Capital Management LLC, Pacific Investment Management Co. and Fidelity Investments are among money managers that are in discussions to form a consortium that would seek ways to make it easier to buy and sell corporate bonds in the U.S.