July 2006
COVER STORY

Disruptive CEOs Combine Vision, Strategy & Technology
When it comes to market-changing business strategy, technology is no longer an afterthought. The four CEOs profiled on the following pages have proved to be masters at leveraging technology to reshape the market.

Ahead of the Curve
As the founder, chairman, CEO and president of ITG, a pioneer in electronic trading and one of the industry's first crossing networks, Ray Killian understands the importance of technology innovation.

Fourth Time Is a Charm
For Seth Merrin, founder and CEO of institutional broker Liquidnet, succeeding in the fastest-moving marketplace in the world is about moving just as fast as the market.

Market Creator
David Krell's ISE shook the options markets to their foundations, all while bringing institutions into the options market. Up next: a new stock exchange.

From Rags to Automation
Since 1977, when Thomas Peterffy left a job developing commodities-trading software to become an operations trader on the AMEX, he has refused to accept the status quo of the trading community.


BUSINESS LINES
Finding the Perfect Pair
Louis Capital Markets develops quant model to sift through 180,000 equity pairs and select the top 15.

Indirect Hit
Although MiFID has yet to fall on the EU, the global nature of the industry demands that U.S. firms pay attention to the changes at hand.

Settling the Score
Continuous linked settlement is proving to be a major coup for the financial services industry, and corporate clients are taking notice.


INDUSTRY VOICE
Prioritizing E-Discovery
E-mail records create a unique problem: Employees consider e-mail to be private and informal while investigators consider e-mail to be a formal business record and will hold a company accountable for e-mails' contents.
FROM THE EDITOR
Careful What You Wish For
Just a few weeks ago, the providers of technology, services or just plain advice for Reg NMS compliance were anxiously awaiting this year's SIA Technology Management show in New York in hopes of signing many new deals and having a robust fiscal quarter.


CIO CHALLENGE
The Challenge:
Lately, it seems that one investment management firm after another is outsourcing back-office functions. But as providers expand their service offerings beyond the back office, how do CIOs determine which functions to keep in-house?


PRODUCT WATCH
Authentication Gets Deeper
SunGard Upgrades Platform
Monitoring The Flow
Increased Database Efficiency
PFPC, STN Address Compliance
Tableau Makes Analyzing Easier


FEATURE

Top-Down Innovation
CEOs have another - and an increasingly urgent - assignment to add to their leadership portfolios: driving innovation and tearing down barriers that may prevent it.


SHIFTING GEARS
Former FBI Man to Lead BofA Security
Harts to Head BAS Equities Strategy
Janowsky Moves to FX Solutions
Keeping Tabs


UP FRONT
Bringing It Back Home
Airing Out The Laundry
Positioning for Consolidation
The Online Generation
Room for Improvement
Shouldering the Burden
Regs Create Revenue
Spending More Can Be Satisfying
Ask the Experts


PERSPECTIVES
Swimming Upstream
Online brokers are in the news again.