NYSE President Farley on Brexit, Volume, and IPOs

The transcript discusses the impact of Brexit on global trading, highlighting the surprising stability and rapid recovery of market volatility. It examines the effects on the IPO market, noting a decrease in volatility and potential for future IPOs. The discussion also covers the implications for retail investors and the ongoing debate between active and passive trading strategies.

What was the general atmosphere on the trading floor a week before the Brexit vote?

• Buzzing with nervous anticipation

• Calm and quiet

• Completely empty

• Chaotic and disorganized

Why was the speaker surprised about the market's reaction post-Brexit?

• Because the market remained unchanged

• Because the market crashed

• Because the market was less volatile than expected

• Because the market was more volatile than expected

What was a significant event coinciding with Brexit Day in the US?

• The Federal Reserve meeting

• The Russell Rebalance day

• The Presidential election

• The launch of a new stock exchange

How did the IPO market react to the volatility post-Brexit?

• It completely shut down

• It saw a surge in new IPOs

• It remained unaffected

• It showed signs of recovery with potential IPOs in July

What could potentially heighten market volatility in the second half of 2016?

• A decrease in trading volume

• A stable economic environment

• Uncertainty about Brexit negotiations and the presidential election

• Certainty about the presidential election outcome

What is the primary concern for retail investors during volatile market periods?

• The speed of transactions

• The accuracy of public quotes and price formation

• The number of trades executed

• The availability of new IPOs

What trend has been observed in trading strategies over the last decade?

• An inexorable rise in passive trading

• A decline in passive trading

• A shift towards more speculative trading

• An increase in active trading