The Chicago Stock Exchange established in 1882 is a regional stock exchange that is located in Chicago, Illinois . In terms of the volume of trade, the Chicago Stock Exchange ranks third in the whole of US. It ranks fourth behind the New York Stock Exchange, NASDAQ and the Toronto Stock Exchange.
We may study the evolution of the Chicago Stock Exchange under the following head.
Evolution of the Chicago Stock Exchange
• Between the period 1864-1882, the Chicago Stock Brokers and traders formed exchanges, some of which failed and others succeeded.
• On July 1914 the exchange closed in response to the World War.
• In 1915, the basis of quoting and trading changed from percent par value to dollars.
• The Chicago Stick Clearing Corporation was established in 1920. This was followed by a stock market crash in 1929.
• The Securities and Exchange Act of 1934 regulated the trading of securities and established the Chicago Stock Exchange .
• 1949 formed a landmark in the history of the Chicago Stock Exchange. The Chicago Stock Exchange merged with St. Louis, Cleveland and the Minneapolis Stock exchanges to form the Midwest Stock Exchange.
• In 1959 the New Orleans Stock Exchange became a part of the Midwest Stock Exchange.
• In 1973 the Mid West Securities Trust Company was established to offer central depository for securities certificates and to record electronically the transfer of stock ownership.
• The Intermarket Trading System was launched in 1978 for the transfer of orders from one exchange to another.
• In 1993 the Midwest Stock exchange was renamed as the Chicago Stock Exchange.
• The Exchange Traded funds were introduced in the Chicago Stock Exchange from 1997.
• The 2000s marked the era where the Chicago Stock Exchange was characterized by new corporate structure and a trading system.
• In 2007, the Chicago Stock Exchange completed its transformation to the new trading model.
Products and Services in the Chicago Stock Exchange
The Chicago Stock Exchange brokers handle the following orders by having an easy access to the modern telecommunication system.
• Working Orders in Listed Stock
• Over the counter Issues
• Exchange- Traded -Funds
• Crosses
• Derivatives- related Trades
• Block Trading
• Average Pricing
• Basket Capabilities
• Intermarket Trading System
• Layoff Vendor Access
The Designated Examining Authority Services have the following requirements:
• Chicago Stock Exchange Trading Permit
• Written Supervisory Procedures and Checklist at the time of application
• Annual Certified Financial audits
• Chicago Stock Exchange annual, financial and operational exams.
For more details on the Chicago Stock Exchange the websites to be viewed are answers.com, britannica.com, chx.com etc.