Second Annual Conference on Capital Markets without Borders

1
Second Annual Conference onCapital Markets
without Borders

• Friday 27 April 2001
• London, May Fair Inter-Continental Hotel

2
Introduction
This document contains the voting results made
during the conference with approximately 200
attendeesfrom the Capital Markets industry.
3
How did you get here today?
Trial Question
On foot
1
18
By train
2
25
By car
3
11
By tube
4
32
By plane
5
14
       
4
The knowledge economy is
Real
1
48
Hype
2
12
The future
3
29
4
No opinion
11
5
Is the pace of globalisation
Accelerating to the point of creating major
disruption
1
28
Accelerating but mostly creating opportunities
2
59
Unchanged
3
8
Slowing down
4
4
None of the above
5
1
6
The risk of deflation in the world economy is
Great
1
13
Moderate
2
50
3
Minimal
30
No opinion
4
7
7
Is the traditional European nation-state
Thriving
1
30
Under threat
2
38
Redundant in the face of subsidiarity
3
19
4
A vital defence against globalisation
10
No opinion
5
3
8
Fortress Europe is
1
Myth
58
Reality
2
36
No opinion
3
6
9
What is your view of the Euro?
Favourable
1
47
2
Mixed
32
3
Unfavourable
19
No opinion
4
2
10
Does your institution encounter significant
barriers in developing cross-border?
1
Within Europe
15
Globally
2
19
3
No
31
4
Yes
20
5
No opinion
15
11
What is the most significant barrier to
cross-border activity?
1
Technology
2
2
Regulations and taxes
63
Different market cultures
3
31
4
No opinion
4
12
When do you expect the financial back-office to
be completely real time?
Within the next 3 years
1
15
3 to 6 years
2
30
6 to 10 years
3
20
Later
4
12
Never
5
15
No opinion
6
8
       
13
In how many years will Europe have one euro SEC?
1
Within the next 3 years
9
2
3 to 6 years
19
6 to 10 years
3
29
Later
4
21
Never
5
22
       
14
The UK should
1
Align more with Europe
68
Align more with US
2
15
Take a nationalistic approach
3
7
Do neither
4
9
No opinion
5
1
       
15
The most efficient way to provide
Infrastructure for a European market without
borders is
With a unique centralised system
1
33
2
Through fully harmonised standards
33
By linking diverse decentralised systems
3
32
No opinion
4
2
16
Is the pace of globalisation
Accelerating to the point of creating major
disruption
1
28
Accelerating but mostly creating opportunities
2
64
3
Unchanged
8
4
Slowing down
0
None of the above
5
0
       
17
Is the pace of globalisation
Accelerating to the point of creating major
disruption
1
28
28
2
Accelerating but mostly creating opportunities
64
59
Unchanged
3
8
8
4
Slowing down
4
0
None of the above
5
1
0
Before
After
       
the keynote address by Dr. Noreena Herz on the
globalisation debate.
18
Markets should be regulated
Tightly
1
35
Lightly
2
45
3
Through self-regulation
20
4
No opinion
0
19
Do you feel regulators respond to market
globalisation
1
Fast enough
6
Too slowly
2
89
3
No opinion
5
20
Which governance is best adapted for market
infrastructures?
1
Co-operatives, membership based
23
2
Demutualized utilities
20
3
For-profit companies, shareholder based
41
4
No opinion
16
21
In order of priority which are the 4 aspects of
regulation that are the greatest impediment?
Taxes
1
16
Disclosure rules
2
7
Corporate law (MA)
3
9
Accounting standards
4
11
Local market rules
5
18
Differences in regulatory structures
6
24
State interventions
7
15
22
In order of priority choose 4 regions from which
future growth will come
Latin America
1
10
Asia
2
26
Eastern and Central Europe
3
17
European Union
4
23
North America
5
21
No opinion
6
3
23
Is the most effective strategy for financial
institutions
To centralise back-office in Europe
1
43
To relocate in low-cost countries
2
8
3
To outsource to IT providers
24
No opinion
4
25
24
At the present time is technology more of a
threat or an opportunity for your institution?
Threat
1
16
Opportunity
2
70
Equally balanced
3
11
No opinion
4
3
25
When do you expect fully integrated market
infrastructures in Europe, like the US?
Within the next 3 years
1
5
3 to 6 years
2
13
6 to 10 years
3
43
Later
4
16
Never
5
23
26
Has your business benefited from major new
opportunities linked to
Front office technology
1
23
Improved market interconnection
2
24
Regulatory convergence
3
5
4
The euro
24
Changes in market cultures
5
17
Other
6
7
       
27
Which of the following is a major constraint for
your business?
1
Front office technology
6
Lacking market interconnection
2
14
3
Regulatory divergence
40
The euro
4
12
Market cultures
5
22
Other
6
6
       
28
Over the last few months, do you feel that the
pace of integration in EU markets has?
1
Accelerated noticeably
22
Remained stable and satisfactory
2
20
3
Remained stable and disappointing
42
4
Deteriorated
16
       
29
Do you expect the EU to create a "euro-SEC ?
Never
1
17
Between 10 to 20 years
2
17
3
Between 5 and 10 years
49
4
Within 5 years
17
30
Do you feel European market cultures are
converging?
Only very slowly
1
60
Quickly, toward U.S. culture
2
17
Quickly, toward a EU specific culture
3
23
       
31
Which of the following trends should future
surveys study in greater depth?
1
Changes in market cultures
15
2
Regulatory convergence / conflicts
42
Market infrastructures (CSDs, etc)
3
28
Information and reporting standards
4
9
Market by market approach
5
2
Others
6
4
32
Which of the following regions would you like to
see studied in greater depth?
North America
1
5
Latin America
2
18
EU / euro Zone
3
36
Eastern Europe
4
20
East Asia
5
13
Middle East / Africa / South Asia
6
8
       
33
The most efficient way to provide infrastructure
for a European market without borders is
1
With a unique centralised system
27
2
Through fully harmonised standards
31
By linking diverse decentralised systems
3
38
4
No opinion
4