SIFMA Statement on the NYSE and Nasdaq Framework to Enhance Resiliency of the Closing Auction Process

Release Date: July 23, 2015
Contact: Liz Pierce, 212.313.1173, [email protected]

SIFMA Statement on the NYSE and Nasdaq Framework to Enhance Resiliency of the Closing Auction Process

New York, NY, July 23, 2015—SIFMA today released the following statement from Randy Snook, executive vice president, business policies and practices, after the New York Stock Exchange (NYSE) and Nasdaq announced a proposed framework to enhance the resiliency of the closing auction process for U.S. equities:

“SIFMA supports the framework announced by NYSE and Nasdaq. We appreciate that NYSE and Nasdaq have considered the industry’s input in taking this important step to improve the resiliency of the closing auction process for U.S. equities. The exchanges’ closing auctions are essential to market efficiency and investor confidence as they establish consistent closing prices for listed equities. SIFMA commends NYSE and Nasdaq for collaborating with each other in developing a framework designed to benefit the entire market. By backstopping each other’s closing auctions, the exchanges will help provide needed certainty that official closing prices can be established in the event that one of the exchanges cannot operate its closing auction.

“Moving forward, SIFMA urges the exchanges to work directly with SIFMA and its members in developing the details of the proposal. This valuable insight from market participants will be vital to help the exchanges develop a plan that is effective and can be implemented as soon as possible. We look forward to considering the details of the proposal with our members and working with the exchanges and the SEC to finalize this plan to support the resiliency of a critical equity markets function.”