BROWSE BY TOPIC
Stories of Interest
- Stephen Hicks Barred for Defrauding His CT Hedge Funds - SEC
- Barclays CEO Staley Sees Pay Decline - Frankly, He's Lucky to Still be Employed
- Barclays Female Investment Bankers Earn 21% Less in Bonuses than Male Counterparts
- FINRA Eliminates $400 Fee for Explained Arbitration Decision
- SEC Adopts Statement and Interpretive Guidance on Public Company Cybersecurity Disclosures
- SEC Charges Former Bitcoin Exchange and Its Founder With Fraud
- JPMorgan Chase to Replace NYC Headquarters with 70-Story Skyscraper
- Citigroup Raises CEO Corbat's Pay 48% to $23Mn
- Should Congress Create a Crypto-Cop?
- JPMorgan Weighs Buying an Exchange-Traded Funds Firm
- Hey, Goldman Sachs: Wanna Buy BNY Mellon?
- SEC Order Rejecting Acquisition of Chicago Stock Exchange (CSX) by Chinese-Baesd Company
- Kyle Moffatt Named Chief Accountant in SEC CorpFinance
- SEC Suspends Trading in 3 Issuers Claiming Involvement in Cryptocurrency and Blockchain Technology
- Karen Garnett, Assoc. Director of SEC CorpFinance, to Leave After 23 Years of Service
- Louisiana Adviser Barred for Hiding Losses from Investors
- Connecticut HF Manager Illegally Diverted Investor Money - Now Owes Nearly $13Mn
- White House Cleaning House of Advisors Without Full Security Clearance
- Goldman Projects 30% Growth in Wealth Management Advisor Force
- Whistleblower Alleges Manipulation of CBOE Volatility Index
We seek to provide information, insights and direction that may enable the Financial Community to effectively and efficiently operate in a regulatory risk-free environment by curating content from all over the web.
Stay Informed with the latest fanancialish news.
NEWSLETTERS & ALERTS
Sale of CHX to Chinese Investors Delayed Further
[Photo: by CoStar Group]
Back in February 2016, the Chicago Stock Exchange (CSX) agreed to sell itself to a Chinese investor group, the Chongqing Casin Enterprise Group. However, the SEC has yet to approve the deal and, on Wednesday, the regulator said it would once again postpone a decision.
While the proposed $20 million deal for CSX is relatively small - the exchange accounts for less than 0.5% of U.S. equity trade volume - some lawmakers have raised security concerns about Chinese investors buying into the U.S. equity market. For example, they've questioned whether Chinese owners could sift secrets about trading strategies and other matters from the stream of orders that rush through exchange systems.
Given those concerns, the CSX separately sought deal approval from the U.S. Committee on Foreign Investment, which includes representatives from the Treasury and Defense departments. That committee approved the deal in December.
However, future prospects for approval would appear limited at this time. The federal government has little incentive to approve any Chinese acquisitions in the United States, given current U.S.-N.Korea tensions and Trump's frustration with China for not havign done more to convince North Korea, its trading partner, to scale back its threats and nuclear missle tests.
All this is most unfortuate for the 135 year old exchange, which is hoping to revitalize its market into a U.S. listing outpost for Chinese companies.