The Jamaica Stock Exchange (JSE) recently transitioned to the use of the National Association of Securities Dealers Automated Quotations (Nasdaq) trading technology, a move which further strengthens the entity’s position on becoming First World ready.
Through a seven-year agreement, Nasdaq will deliver matching engine and market surveillance technology (SMARTS) to the JSE. By tapping into this technology, the JSE is strategising to bolster the entity’s product and service delivery, regionally and globally. According to Nasdaq, “the market surveillance technology will provide the exchange the ability to closely monitor trade activities while strengthening market integrity”.
Nasdaq, which is a stock exchange located in New York’s Times Square, has no physical trading floor, but conducts all of its trades through a computer and telecommunications system.
The exchange is a dealers’ market, meaning brokers buy and sell stocks through a market-maker rather than from each other. It has some 3,300 company listings and is said to currently have greater trading volume than any other US stock exchange, carrying out approximately 1.8 billion trades per day. Some of the companies listed on the platform include Apple, Intel, Cisco, Sirius, Netflix and eBay among several other top rated global financial entities.
The country’s Prime Minister Andrew Holness expressed elation at this latest development in the local stock market. He further congratulated the entity on what he dubbed as “a milestone achievement”.
Minister of Industry, Commerce, Agriculture and Fisheries Audley Shaw, in a congratulatory note on his Facebook page, also lauded the company for its continued quest for excellence.
“Congratulations to the JSE on their seamless transition to Nasdaq trading technology,” he said.
This move, he added, will help in elevating the country’s stock market to First World market platforms.
The JSE which was also recently named by global financial media company Bloomberg as the