Mostly… fixed income and cross product eTrading

June 29, 2007

Furse warns over Project Turquoise

Filed under: etrading, Mifid — holky @ 6:39 am

EFN says that Clara Furse, chief executive of the London Stock Exchange, has publicly warned that Project Turquoise and MiFID could reduce liquidity and raise costs for investors. 

She also dismissed the claims by Project Turquoise that stock exchange fees were a significant part of the overall cost of trading, and their claims that their mutually-owned structure was superior to that of the LSE;  claiming exchange fees account for just 4p out of the average £6.50 average cost of trading £1,000 worth of shares on the LSE – or about 60 basis points – compared with 85p in commissions charged by brokers and 60p in market impact, adding “Even if we offered our services for free, we would only reduce the overall cost of trading on the LSE by 4p. That is a small price to pay for the efficiency and liquidity that we provide.”


Leave a Comment »

No comments yet.

RSS feed for comments on this post. TrackBack URI

Leave a Reply

Please log in using one of these methods to post your comment: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

Blog at

%d bloggers like this: