Back in February I wrote to W P Foster, MD NZSE ,
and Eion Edgar, chairman, re lack of market depth. Bill Foster replied
within a day or two, Eion Edgar hasn't got round to it yet. I've been
putting off posting the reply 'cos I don't have a scanner.......anyway here
it is, any typo's are mine.
"Dear Sir, it is a current policy of the
Exchange not to provide an electronic distribution of any pre-trade
information including depth other than to member firms who trade on the
Exchange.
We are reviewing this policy in conjunction with
the introduction of direct Internet trading on the Exchange as some depth
information will be needed to assist persons placing their own orders
directly.
In the meantime, you should be aware that the
information does not belong to any one member firm, since they all
contribute to it collectively by submitting their own orders and orders from
their clients. We have no restriction of their distribution of their own
information as they wish, but it is not unreasonable to approach the
distribution of information gained collectively through the function of the
Exchange in a thoughtful manner, rather than simply to provide it just
because some clients would like to receive it directly and do not feel they
are being well serviced by their NZSE member firm. Under the Rules,
Regulations and Code of Practice of the Exchange, NZSE member firms play an
essential and important role as intermediaries and counterparties to the
market and we are concerned to ensure that direct access by clients
does not impact on the integrity of the market and its efficient
operation.
I can assure you that there is no professional
conservatism or patronisation of client competence underlying the
development of the policy.
Y.f
W P Foster M.D. "
My reaction...yeah, right....and naive or not, I do
not have a particularly high opinion of people like Eion Edgar who do
not answer their mail.
Is it time to consider forming an "action
group" of some sort to promote our interest to the NZSE ?
Regards
Tony
Haddon
See IRG research reports
