Due to the intended merger between NYSE and Euronext, KAS BANK is to expand its current network of direct connections throughout Europe with all leading stock exchanges in the United States. For this purpose, an agreement has been concluded with a local specialist based in New York.
The expanded network aims to enable trading and settlement in shares, bonds and derivatives through KAS BANK’s systems in the United States in addition to Europe, and, US parties can also directly make use of KAS BANK’s systems in Europe. The expectations are that the direct connection will be effected during the first quarter of 2007.
“Although the merger between NYSE and Euronext will have no direct effect on the existing trading flows, predictions are that there will be more interest in each other both in the US and Europe,” says Albert Rell, the Chairman of the Managing Board of KAS BANK. “By anticipating this at an early stage, we decrease any relevant thresholds and support a more active transatlantic investment behaviour.”
Over the few past years, KAS BANK has realeased a technical platform in Europe for the leading securities and derivatives exchanges, clearing houses, depositories and several central banks thus creating a virtual European capital market. This system is to enable settlement of transactions throughout Europe on the basis of centralised administration and risk systems. This platform now also includes the United States. The international exchange of Dubai was already connected at an earlier stage.