Nasdaq CEO Bob Greifeld may be the most hated man on Wall
Street, the New York Post reports.. That’s judging by the fiery responses the exchange boss fielded
yesterday, less than 24 hours after floating a plan to compensate market makers
a paltry $40 million, some of it in discounts, for Nasdaq’s embarrassing botch
of the high-profile Facebook public stock sale.
Critics of Greifeld’s plan pulled few punches in blasting
the executive’s plan as too little too late.
“They’re not even in the ballpark with what they’re
proposing,” Tom Joyce, CEO of Knight Capital, said during an interview with CNBC. “The number I came up with, that the Street
has come up with, is well over $100 million,” Joyce noted.
William O’Brien, CEO of Direct Edge, a rival exchange, urged
Greifeld to go back to the drawing board and characterized the exchange’s plans
to compensate brokers by offering discounts on trades downright “illegal.” As it stands now, Greifeld is offering market
makers who attempted to complete trades of Facebook at $42 a share, $13.7
million in cash and $26.3 million in trading discounts.
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