Regional focus is necessary during mergers: Paul Bennett

Hyderabad, Dec 19 (UNI) "While mergers happen for a common branding, it is important to maintain a sense of the regional market", Chief Economist and Head of Research Department, New York Stock Exchange Paul Bennett said today.

Addressing a panel discussion on 'World Stock Exchanges: What Does the Future Hold?' organised at the International School of Business here, he said globalisation was more about economies of the scope as per economics parley as there were a number of common elements, like branding, nature of the product, it was important to have regional regulations in place.

Bennett said "markets of the future are going to be much more cross-border and global".

As part of the Winter Research Conference 2006, organised by the Centre for Analytical Finance, Indian School of Business, the panel discussion was held on the future of world stock exchanges.

The forum saw heads of major Indian Stock Exchanges (NSE, NCDEX), Chief Economist of NYSE, and leading microstructure researchers addressed the theme. The panel deliberated on changes, demutualisation, consolidation, specialist entities, which were sweeping stock exchanges around the world.

"Mergers seem to be the wave of the future", noted Josh Felman, Head International Monetary Fund, India office.

Managing Director and CEO, National Commodity and Derivatives Exchange Ltd (NCDEX) P H Ravi Kumar said trading in commodity was mostly retail and future volume on commodity exchanges had overtaken the future volume on the stock exchange.

He pointed out that the regulatory divide in India was strong and according to him, it was the main reason for having two different exchanges.

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