A Different Type of Bitcoin Exchange

Typical Bitcoin exchanges offer a service where you can buy or sell your bitcoins at the value set by the exchange in the fiat currency of your choice. ¬†There are many of these exchanges available, and they all offer similar services with varying fees, quality of service, and reliability. ¬†However, there is another type . . . → Read More: A Different Type of Bitcoin Exchange

The changes in taxation of transactions in futures on equity and commodity underlyings

Taxation of transactions in India began with the equity market in 2004. Prior to 2008, the securities transaction tax (STT) was allowed as a rebate against tax liability against Section 88E of the Income Tax Act. This treatment was withdrawn by the 2008 Budget announcement. After that, STT became a substantial influence on the . . . → Read More: The changes in taxation of transactions in futures on equity and commodity underlyings

Preventing shocks or becoming resilient to them?

My previous blog post, on not cancelling trades after a fat finger trade, elicited some interesting email conversations. In a nutshell, there are two views of the world. One camp argues that it is important to prevent fat finger trades and other such weird episodes. This requires building an array of preventive measures. The . . . → Read More: Preventing shocks or becoming resilient to them?

Cancelling trades on an exchange: When is it a good idea?

When inexplicable things happen on an exchange, many people argue that those trades should be cancelled. I think it is useful to be clear about the test to apply for this.

The key question should be: Did something foul up in the order matching software? If order matching went wrong, or if there was . . . → Read More: Cancelling trades on an exchange: When is it a good idea?

The costs in buying versus the costs in selling

All models are wrong, some models are useful. A model reduces complications that are true in return for tractability and insight. In finance, all too often, one complication which has been wished away is transactions costs. A great deal of what we see in the world around us is caused by the costs of . . . → Read More: The costs in buying versus the costs in selling

Inconsistent nonsense

Worth reading this response by Victor the Cleaner in FOFOA comments to this question: “At the moment, in order to influence the Gold price downwards, all that needs to be done by the authorities in LBMA and COMEX, is to raise the margin requirements.” This is complete and utter nonsense. LBMA is a trade . . . → Read More: Inconsistent nonsense

Is PAGE dead on PBOC ban on non-Shanghai gold exchanges?

Mineweb (ex-Reuters) is reporting that “Gold exchanges in China outside of two in Shanghai are to be banned, authorities said in a statement released on Tuesday.”

Looks like the much hyped Pan Asia Gold Exchange is dead. Not sure where this leaves those who claimed that it “will ultimately destroy the remaining short positions . . . → Read More: Is PAGE dead on PBOC ban on non-Shanghai gold exchanges?

Helen O'Malley: The Manganese Market, a New Economic Growth Barometer?

Manganese’s many uses in infrastructure and building materials make its market a strong barometer for gauging the world economy. Soaring growth in countries like China and India has led to high global demand. In this exclusive interview for The Critical Metals Report, Helen O’Malley, a bulk manganese specialist with CRU International in London, . . . → Read More: Helen O’Malley: The Manganese Market, a New Economic Growth Barometer?

What is gained from cross-border exchange mergers?

Cross-border exchange mergers are in the news. See Indian exchanges must go regional and then global and Global mergers and Indian exchanges, by Jayanth Varma, who points us to LSE and TMX merge by Jeff Carter on Points and Figures. Also see Stock exchange mergers: the fight for global dominance in the Telegraph.

An . . . → Read More: What is Gained From Cross-Border Exchange Mergers?

Interesting Readings for June 18, 2010

The Budget Speech of February 2010 had announced a `Technical Advisory Group for Unique Projects’ (TAGUP). The press release about creation of this group is out.

Anil Padmanabhan looks back at year 6 of the UPA.

Heather Timmons and Hari Kumar in the New York Times on the carnage on India’s roads.

NSE does . . . → Read More: Interesting Readings for June 18, 2010