NYSE American
Type | Stock exchange |
---|---|
Location | New York City, New York, United States |
Founded | 1908 | (as New York Curb Market Agency)
Owner | Intercontinental Exchange |
Currency | United States dollar |
Website | NYSE American |
NYSE American, formerly known as the American Stock Exchange (AMEX), and more recently as NYSE MKT, is an American stock exchange situated in New York City. AMEX was previously a mutual organization, owned by its members. Until 1953, it was known as the New York Curb Exchange.[1]
Following the
History
The Curb market
The exchange grew out of the loosely organized
Organizing and 'Curb list'
As of 1907, E. S. Mendels gave the brokers rules "by right of seniority", but the curb brokers intentionally avoided organizing. According to the Times, this came from a general belief that if a curb exchange was organized, the exchange authorities would force members to sell their other exchange memberships.[10] However, in 1908 the New York Curb Market Agency was established, which developed appropriate trading rules for curbstone brokers, organized by Mendels.[11] The informal Curb Association formed in 1910 to weed out undesirables.[8] The curb exchange was for years at odds with the New York Stock Exchange (NYSE), or "Big Board", operating several buildings away. Explained the New York Times in 1910, the Big Board looked at the curb as "a trading place for 'cats and dogs.'"[12] On April 1, 1910, however, when the NYSE abolished its unlisted department, the NYSE stocks "made homeless by the abolition" were "refused domicile" by the curb brokers on Broad Street until they had complied with the "Curb list" of requirements.[12] In 1911, Mendels and his advisers drew up a constitution and formed the New York Curb Market Association, which can be considered the first formal constitution of American Stock Exchange.[11]
1920s-1940s: Move indoors
In 1920, journalist Edwin C. Hill wrote that the curb exchange on lower Broad Street was a "roaring, swirling whirlpool" that "tears control of a gold-mine from an unlucky operator, and pauses to auction a puppy-dog. It is like nothing else under the astonished sky that is its only roof."
Edward Reid McCormick was the first president of the New York Curb Market Association and is credited with moving the market indoors.[17][18] George Rea was approached about the position of president of the New York Curb Exchange in 1939.[19] He was unanimously elected[19] as the first paid president in the history of the Curb Exchange. He was paid $25,000 per year (equivalent to $548,000 today[20]) and held the position for three years before offering his resignation in 1942.[21] He left the position having "done such a good job that there is virtually no need for a full-time successor."[22]
Modernization as the American Stock Exchange
In 1953 the Curb Exchange was renamed the American Stock Exchange.[23] The exchange was shaken by a scandal in 1961, and in 1962 began a reorganization.[24] Its reputation recently damaged by charges of mismanagement, in 1962 the American Stock Exchange named Edwin Etherington its president. Writes CNN, he and executive vice president Paul Kolton were "tapped in 1962 to clean up and reinvigorate the scandal-plagued American Stock Exchange."[25]
As of 1971, it was the second largest stock exchange in the United States. Paul Kolton succeeded Ralph S. Saul as AMEX president on June 17, 1971,
In 1977, Thomas Peterffy purchased a seat on the American Stock Exchange. Peterffy created a major stir among traders by introducing handheld computers onto the trading floor in the early 1980s.[30][31]
Introducing ETFs
ETFs or exchange-traded funds had their genesis in 1989 with Index Participation Shares, an S&P 500 proxy that traded on the American Stock Exchange and the Philadelphia Stock Exchange. This product was short-lived after a lawsuit by the Chicago Mercantile Exchange was successful in stopping sales in the United States.[32][33]
In 1990, a similar product, Toronto Index Participation Shares, which tracked the TSE 35 and later the TSE 100 indices, started trading on the Toronto Stock Exchange (TSE) in 1990. The popularity of these products led the American Stock Exchange to try to develop something that would satisfy regulations by the U.S. Securities and Exchange Commission.[34]
Nathan Most and Steven Bloom, under the direction of Ivers Riley, designed and developed
Barclays, in conjunction with MSCI and Funds Distributor Inc., entered the market in 1996 with World Equity Benchmark Shares (WEBS), which became iShares MSCI Index Fund Shares. WEBS originally tracked 17 MSCI country indices managed by the funds' index provider, Morgan Stanley. WEBS were particularly innovative because they gave casual investors easy access to foreign markets. While SPDRs were organized as unit investment trusts, WEBS were set up as a mutual fund, the first of their kind.[37][38]
In 1998,
The iShares line was launched in early 2000. By 2005, it had a 44% market share of ETF assets under management.[40] Barclays Global Investors was sold to BlackRock in 2009.
NYSE merger
As of 2003, AMEX was the only U.S. stock market to permit the transmission of buy and sell orders through hand signals.[41]
In October 2008
In June 2016, a competing stock exchange IEX (which operated with a 350-microsecond delay in trading), gained approval from the SEC, despite lobbying protests by the NYSE and other exchanges and trading firms.[43] On July 24, 2017, the NYSE renamed NYSE MKT to NYSE American, and announced plans to introduce its own 350-microsecond "speed bump" in trading on the small and mid-cap company exchange.[5][6][7]
Products
Management
Past presidents of the American Stock Exchange include:[44]
- John L. McCormack (1911–1914)
- Edward R. McCormick (1914–1923)
- John W. Curtis (1923–1925)
- David U. Page (1925–1928)
- William S. Muller (1928–1932)
- Howard C. Sykes (1932–1934)
- E. Burd Grubb (1934–1935)
- Fred C. Moffatt (1935–1939; 1942–1945)
- George P. Rea (1939–1942)
- Edwin Posner (1945–1947; January–September, 1962)
- Edward C. Werle (February–March, 1947)
- Francis Adams Truslow (1947–1951)
- Edward T. McCormick (1951–1961)
- Joseph F. Reilly (1961–1962)
- Edwin D. Etherington(1962–1966)
- Ralph S. Saul (1966–1971)
- Paul Kolton (1971–1973)
- Richard M. Burdge (1973–1977)
- Robert J. Birnbaum (1977–1986)
- Kenneth R. Leibler (1986–1990)[45]
Past chairmen of the American Stock Exchange include:
- Clarence A. Bettman (1939–1941)
- Fred C. Moffatt (1941–1945)
- Edwin Posner (1945–1947; 1962–1965)
- Edward C. Werle (1947–1950)
- Mortimer Landsberg (1950–1951)
- John J. Mann (1951–1956)
- James R. Dyer (1956–1960)
- Joseph E. Reilly (1960–1962)
- David S. Jackson (1965–1968)
- Macrae Sykes (1968–1969)
- Frank C. Graham, Jr. (1969–1973)
- Paul Kolton (1973–1978)
- Arthur Levitt, Jr. (1978–1989)
- James R. Jones (1989–1993)
Gallery
-
The text reads: "On June 27, 1921, the curbstone brokers moved from their outdoor Market on Broad Street to establish on this site the indoor securities market that became the American Stock Exchange."
-
2004: Vice Adm. Gary Roughead, right, rings the opening bell at the American Stock Exchange, during the 17th Annual Fleet Week in New York
-
Old American Stock Exchange Building 2009
See also
- NYSE Arca Major Market Index
- Microcap stock
- Economy of New York City
- List of stock exchanges in the Americas
- List of stock exchange mergers in the Americas
- Consolidated Tape System
- Hal S. Scott
- Michael J. Meehan
References
- ISBN 0-19-513516-4.
- ^ "NYSE Euronext Completes Acquisition of American Stock Exchange". New York Stock Exchange. October 1, 2008. Archived from the original on October 8, 2008. Retrieved September 10, 2017.
- ^ a b "Notice of Upcoming NYSE System Changes To Support the NYSE/Amex Integration (NYSE Alternext U.S.)". New York Stock Exchange. July 7, 2008. Archived from the original on September 15, 2008.
- ^ a b c d e "NYSE Amex Equities Information". New York Stock Exchange. Archived from the original on March 19, 2011. Retrieved September 10, 2017.
- ^ a b Matt, Turner (January 25, 2017). "The New York Stock Exchange is slowing down trading for a key market". Business Insider. Axel Springer SE. Retrieved September 2, 2017.
- ^ a b Massa, Annie (July 24, 2017). "NYSE American Opens to Take on Upstart Exchange IEX". Bloomberg News. Bloomberg L.P. Retrieved September 2, 2017.
- ^ a b Frank, Chaparro (July 25, 2017). "The New York Stock Exchange is out to crush America's newest stock exchange". Business Insider. Axel Springer SE. Retrieved September 2, 2017.
- ^ a b c d Gray, Christopher (September 30, 2010). "When Stocks Came in From the Cold". The New York Times.
- ISBN 9781893122659. Retrieved January 6, 2018.
- ^ a b c "Asks Bingham to Oust Curb Brokers; Lawyer Allen Says Open-Air Exchange Is a Public Nuisance and Therefore Illegal. He Cites Many Decisions And Will Press His Contention -- Brokers Forced to Move Many Times Owing to Complaints". The New York Times. August 17, 1907.
- ^ a b http://abcnewspapers.com/index.php?option=com_content&task=view&id=11281 New York Curb Market Association
- ^ a b "Curb Bars Stocks Big Board Dropped; Securities Shut Out by Abolition of Unlisted Department Are Homeless Now". The New York Times. April 2, 1901. p. 1.
- ^ Munsey's Magazine. Frank A. Munsey Company. 1920. p. 46. Retrieved February 21, 2020.
- ISBN 9780123918802.
- ^ "New York Curb Exchange (Incorporating the New York Curb Market Building), Later known as the American Stock Exchange" (PDF). Landmarks Preservation Commission. June 26, 1912. Archived (PDF) from the original on October 9, 2022.
- ISBN 9781893122482.
- ^ "Edward Reid McCormick, 76, First President of Curb Market". Brooklyn Daily Eagle. November 9, 1954. p. 9. Retrieved September 17, 2019.
- JSTOR 23700715.
- ^ a b "G. P. Rea New Head of Curb Exchange". The New York Times. April 21, 1939. Retrieved April 8, 2008.
- ^ 1634–1699: McCusker, J. J. (1997). How Much Is That in Real Money? A Historical Price Index for Use as a Deflator of Money Values in the Economy of the United States: Addenda et Corrigenda (PDF). American Antiquarian Society. 1700–1799: McCusker, J. J. (1992). How Much Is That in Real Money? A Historical Price Index for Use as a Deflator of Money Values in the Economy of the United States (PDF). American Antiquarian Society. 1800–present: Federal Reserve Bank of Minneapolis. "Consumer Price Index (estimate) 1800–". Retrieved February 29, 2024.
- ^ "Rea Quits as Curb Exchange Head Effective June 30, After 3 Years". The New York Times. April 8, 1942. Retrieved April 8, 2008.
- ^ "First Is Last". Time. July 13, 1942. Archived from the original on October 14, 2010. Retrieved April 8, 2008.
- ^ "History of the NASDAQ and American Stock Exchanges". Business Reference Services, Library of Congress. Retrieved February 10, 2018.
- ^ a b Terry Robards (June 6, 1971). "Half Century Off the Curb". The New York Times.
- ^ "An exceptional character". Money.cnn.com. January 12, 2001. Retrieved January 6, 2018.
- ^ Rustin, Richard E. (May 14, 1971). "American Board Panel Seen Recommending Kolton, No. 2 Man, as Successor to Saul". The Wall Street Journal. Retrieved October 30, 2010.
- ^ a b (registration required) Kaplan, Thomas (October 29, 2010). "Paul Kolton, Who Led the American Stock Exchange, Dies at 87". The New York Times. Retrieved October 29, 2010.
- ^ Staff (November 3, 1972). "Amex Formally Elects Paul Kolton as Chairman, Chief Executive Officer". The Wall Street Journal. Retrieved October 30, 2010.
- Dow Jones Service) (The Pittsburgh Press (via Google News)). Retrieved July 18, 2012.
- ^ "Thomas Peterffy". Forbes. 2016. Retrieved June 16, 2016.
- ^ "Twenty Billionaires Who Started With Nothing - Living the American Dream". Bloomberg Businessweek. December 6, 2010.
- ISBN 978-0-471-21894-4.
- ^ Berman, David (February 19, 2017). "The Canadian investment idea that busted a mutual-fund monopoly". The Globe and Mail. Retrieved November 19, 2021.
- ^ McFeat, Tom (December 29, 2010). "The Rise of the ETF".
- ISBN 978-0-470-13894-6.
- ISSN 0362-4331. Retrieved November 19, 2021.
- OCLC 50766758.
- OCLC 1037812038.
- ^ "5 Biggest ETF Companies". Investopedia. Retrieved November 19, 2021.
- ^ "ETFs Show Increasing Popularity In First Half of 2005 | PLANSPONSOR". www.plansponsor.com. Retrieved November 19, 2021.
- ISBN 978-0-19-514470-3
- ^ "NYSE Euronext Completes Acquisition of American Stock Exchange". New York Stock Exchange. October 1, 2008. Archived from the original on October 8, 2008.
- ^ Popper, Nathaniel (June 17, 2016). "IEX Group, Critical of Wall St., Gains Approval for Stock Exchange". The New York Times. Retrieved September 2, 2017.
- ISBN 978-1-136-45907-8.
- ISSN 0362-4331. Retrieved February 6, 2022.
Further reading
- ISBN 1-893122-65-4.
- Sobel, Robert (1972). AMEX: A History of the American Stock Exchange. Washington, D.C.: BeardBooks. ISBN 1-893122-48-4.