CEO Letter - June

Published by: Nandini Sukumar, CEO, The WFE Jun 2019

Dear Colleagues,

Welcome to the June issue of Focus.

This month, we are delighted to welcome P. S. Reddy, the new MD & CEO of the Multi Commodity Exchange of India Ltd. (MCX) who writes about reforms that have been designed to put the Indian commodity derivatives market “in orbit”. It’s heartening to hear how the industry has successfully worked hand in hand with the local regulator SEBI to drive through changes that are positively impacting the Indian market.

April 2019 marked a key milestone in Thailand-China capital market collaboration through a renewal of a memorandum of understanding (MoU) between The Stock Exchange of Thailand (SET) and Shenzhen Stock Exchange (SZSE), which began in 2009. Dr. Pakorn Peetathawatchai, President, The Stock Exchange of Thailand (SET), discusses the importance of this renewed MoU.

The Johannesburg Stock Exchange (JSE), Africa’s largest, multi-asset class stock exchange, has launched a new integrated trading and clearing solution, writes Nicky Newton-King, CEO, JSE, that has seen its equity and currency derivatives markets migrating to a new trading, clearing and surveillance system.

The Art Collection Deutsche Börse, a renowned collection of contemporary photography, is celebrating its 20 anniversary with a series of different exhibitions. Anne-Marie Beckmann, Director of the Deutsche Börse Photography Foundation takes us through the exciting celebrations taking place to commemorate this important milestone.

Dee Liyanwela, Group Head of Shared Services Centers & Group Head of LSEG Technology Sri Lanka, London Stock Exchange Group (LESG) outlines the deepening collaboration between the LSEG and Colombo Stock Exchange (CSE), which culminated in the signing of a landmark memorandum of understanding (MoU).

The Depository Trust & Clearing Corporation (DTCC) recently pubished a paper entitled ‘Cyber Risks: The Threats of the New Frontier’, and this month, Jason Harrell, DTCC Head of Business and Government Cybersecurity Partnerships, discusses how the geopolitical environment, the proliferation of new technology solutions, and the expansion of the supply chain have all contributed to increased risks across the financial industry landscape.

Over the past 10 years, the Middle East region has experienced significant movements in the capital markets, accompanied by changes in the structure of stakeholder engagement, including more of a focus on investor relations (IR). Khalifa Bin Ebrahim Al Khalifa, CEO, Bahrain Bourse takes us through these important changes and the impact they are having on the Bahrani market.

In May 2019, Shenzhen Stock Exchange (SZSE) celebrated the 15th anniversary of its SME Board, and as part of this milestone, Dr Jibao He, Head of Research Institute at SZSE, explores the exchange's provisions for SME financing.

On Wednesday 19 June, the financial community in London ‘Rocked For Good’ in support of the charity A Leg To Stand On (ALTSO) at its signature benefit, Rocktoberfest-London. Funds raised through ALTSO’s Rocktoberfest series (other events take place in New York and Chicago) support the charity’s mission to provide, free, life-changing prosthetic limbs, orthotic braces, and appropriately fitted wheelchairs to children living with limb disabilities in the developing world.

We welcome Olumide Orojimi, Head, Corporate Communications, The Nigerian Stock Exchange, who discusses the importance of corporate sustainability and responsibility to the exchange.

Earlier this month, the WFE’s Regulatory Affairs team published a statement entitled ‘Financial Stability through International Regulatory Coherence’, which discusses cross-border fragmentation arising from unjustified dissonance between jurisdictions’ financial services regimes. The team also responded to the International Organization of Securities Commissions’ (IOSCO) Sustainable Finance Network (SFN) survey, summarising the work the WFE has done on environmental, social and governance (ESG) issues since the inception of its Sustainability Working Group in 2014.

The WFE is currently holding the inaugural in-person meeting of its Enterprise Risk Working Group (ERWG)in London. As part of its work to identify emerging challenges and opportunities in the enterprise and operational risk management space, the London meeting of the ERWG will address a range of issues, including how technology is one of the biggest operational risks to manage and harness when implementing innovation.

The WFE Research & Statistics team’s monthly insights piece examines trends in commodity derivatives volumes between January and May 2019, alongside our latest monthly dashboard and market statistics data.

We will soon be opening registration for the 59th General Assembly & Annual Meeting (Singapore, 8-10 October 2019). Please look out for more details and information in the coming weeks.

We are just days away from the bi-annual WFE Technology Conference 2019, which starts this Sunday 30 June through to Monday 2 July, in Umeå, Sweden with partner Umeå University. This a truly exciting time to be talking about the convergence of finance and technology. This convergence is moving ever faster, with both sectors shaping the other. Indeed, new ideas in technology, and the way it is changing the shape of market structure and society at large, sit at the very heart of our industry’s thinking and strategy. We look forward to seeing many of you in Sweden, to discuss and debate these business critical issues.

Focus will be taking a well-earned break in July; we will be back for more market infrastructure insight in August 2019. Thank you.

Nandini Sukumar
Chief Executive Officer
The WFE