IEX CEO Katsuyama on SEC Exchange Approval

The transcript discusses IEX's recent approval by the SEC to operate as an exchange, highlighting the importance of unconditional approval and the protected quote. It explains the transition from a dark pool to an exchange, emphasizing growth potential and market strategy. The conversation addresses critics, potential legal challenges, and the competitive landscape, including speed bumps. Future challenges and ambitions for IEX, such as global expansion, are also explored.

Why was the unconditional approval from the SEC significant for IEX?

• It ensured IEX's future existence.

• It made IEX a private company.

• It limited IEX's growth potential.

• It allowed IEX to offer rebates.

What does being part of the national market system mean for IEX?

• IEX can choose its trading partners.

• Trading with IEX becomes mandatory if it has the best price.

• IEX must offer the lowest prices.

• IEX can operate without regulations.

What was one of the main reasons IEX transitioned from a dark pool to an exchange?

• To limit its growth.

• To compete at the highest level.

• To offer higher rebates.

• To avoid SEC regulations.

How does IEX differ from other exchanges in terms of incentives?

• IEX provides free trading services.

• IEX charges higher fees.

• IEX does not pay rebates.

• IEX offers higher rebates.

What is one potential response from other exchanges to IEX's speed bump?

• They will increase their rebates.

• They will stop trading with IEX.

• They will lower their trading fees.

• They might set up their own speed bumps.

What is IEX's primary focus after receiving exchange approval?

• Focusing on US equities.

• Going public as soon as possible.

• Expanding globally immediately.

• Offering new asset classes.

Is IEX planning to go public in the near future?

• No, they are focusing on reducing operations.

• Yes, they have immediate plans.

• No, it's not on their near-term radar.

• Yes, they are preparing for an IPO.