At Bourse Consult we have experience in all aspects of running an efficient market and have helped numerous established financial and commodities marketplaces to adapt to a changing environment, as well as startups to get going. Below are some case studies:
The very nature of trading is changing rapidly, and so is regulation. To be a winner you need to change and adapt. The future leaders are the players that not only have competitive products, but also are the fittest in all disciplines of operating a financial market place.
Case study: Improving the efficiency of a government bond market
Bourse Consult has been advising the National Treasury of South Africa on improvements to the secondary market in Sovereign Bonds. The goal of the project, financed by the World Bank, is to increase the level of market transparency and liquidity. Bourse Consult has also been advising on the design and implementation of an electronic trading platform for Government Bonds. These kind of projects require not only a high level of know-how of micro market infrastructure but also a deep understanding of the vested interests of all the market stakeholders and the capacity to reach consensus between market members and the Treasury.
Case study: How to meet Dark Pool competition
An exchange had a need to prepare for competition from dark pools. Bourse Consult advised on how to meet this competition by implementing dark non-lit sub-markets and dark trading elements in the existing business model.
Many of our assignments relate to information technology. We know how to effectively manage IT services and have experience specifying requirements based on international best practice. We have advised in-house developments on how to make their technology as competitive as possible. We have experience of working with many of the available vendors and have managed selection and implementation projects. See “Information Technology” for examples of our work within this area.
Startups have so many questions to answer, if they are to succeed. What market structure? What trading platform? What are the requirements for market data, post-trade services, clearing and settlement? How should market surveillance be setup? How to build an efficient organisation with clear responsibilities? What official authorization is needed and how to get it? Bourse Consult has helped in these situations. We have experience gained from going through this process many times before. We can advise from our unique vantage point on the strategy of the various players involved in trading, clearing, settlement and regulation and guide you through the practicalities of implementing solutions.
Case Study: Developing a new commodities exchange
The promoters of a new commodities exchange to be launched in Asia approached Bourse Consult for advice. A Bourse Consult team advised them on all aspects of developing and launching the new exchange, including their strategy towards partners, their approach to the regulators and the strategy for establishing the clearing arrangements. The team also participated in some of the key negotiations during the start-up phase.
Case study: Organisation and operational efficiency
A Bourse Consult consultant advised a start-up exchange in the United States concerning operational procedures and efficiency. He recommended an organisational structure, staffing levels, roles, responsibilities and management processes. He acted as a coach to the management team during the implementation period.
Case study: Gaining regulatory approval for a new trading platform
A number of new trading platforms launched in Europe have commissioned Bourse Consult to advise them on all aspects of obtaining regulatory approval and the design and implementation of appropriate compliance functions. The tasks included:
- advising on board and committee structures;
- designing the rule book structure;
- determining, drafting and implementing appropriate compliance systems and procedures;
- and ensuring the scope of market surveillance and monitoring complied with regulatory requirements.
Bourse Consult coordinated with regulators and professional advisers to help ensure swift and cost-effective solutions to regulatory hurdles as they arose. Bourse Consult also mentored and trained new regulatory and compliance staff enabling a seamless transition though all stages from start-up through to launch.
Case study: Master activity plan for a startup exchange
A consultant from Bourse Consult was engaged to develop a complete activity plan to establish the operational organization for a new exchange in Asia. The plan covered listing, trading, market data, surveillance, post trade services, marketing & sales, training & support, IT services, business management, business support, and governance. Each activity was ranked according to effort of implementation and effect on business. All activities were prioritized and assigned to a responsible person.