Science Fair Project Encyclopedia
Montreal Exchange
The Bourse de Montréal (Montreal Exchange, formerly Montreal Stock Exchange) is a securities exchange, located in Montreal, that trades in derivative securities such as options. It is located since 1965 in the Tour de la Bourse (Stock Exchange Tower), Montreal's third-tallest building.
History
The Bourse began in 1832 as an informal stock exchange at the Exchange Coffee House in Montreal, Canada. In 1874, the Bourse de Montréal/Montreal Stock Exchange was established under Charter, after more than 40 years of informal trading, primarily in railroad and bank securities.
In 1982, the Montreal Stock Exchange changed its name to the Montreal Exchange to reflect the growing importance of financial instruments other than stocks – primarily options and futures – on its trading floor.
In 1999, the Vancouver, Alberta, Toronto and Montreal exchanges agreed to restructure the Canadian capital markets along the lines of market specialization, resulting in the Montreal Exchange assuming the position of Canadian Derivatives Exchange for the following 10 years. Trading in the shares of large companies was transferred to the Toronto Stock Exchange (TSX), and in the trading of smaller companies to the new Canadian Venture Exchange. This change, which reflected the economic reality that most equity trading had moved to the TSE, caused consternation among those in favour of political independence for the province of Quebec, because it means that any future independent Quebec would not have its own equities exchange.
In February 2004, the Exchange became the sole provider of electronic trading systems and support for the Boston Options Exchange (BOX), making it the first foreign exchange to be responsible for the day-to-day technical operations of an American exchange. That contract now provides the Montreal Exchange with a significant part of its revenue.
In April 2005, the Toronto Stock Exchange made public its intention of acquiring the Montreal Exchange, circumventing the non-compete agreement that would expire in 2009.
See also
External link
The contents of this article is licensed from www.wikipedia.org under the GNU Free Documentation License. Click here to see the transparent copy and copyright details