What is the Chicago Stock
The Chicago Stock Exchange (“CHX” or “Exchange”)
is a market place for the purchase and sale of equity securities.
The Exchange is a national securities exchange and self-regulatory
organization, which operates with the oversight of the U.S.
Securities and Exchange Commission (“SEC”).
How is the CHX structured?
CHX operates as a direct and wholly-owned subsidiary of CHX
Holdings, Inc. ("CHX Holdings"), a Delaware corporation.
Previously, the Exchange had been constituted as a membership
organization in which a "seat" on the Exchange conferred
both a fractional ownership interest as well as the privilege
to trade on the floor. On February 8, 2005, the demutualization
plan of the Chicago Stock Exchange, which had already been
approved by its members, received approval from the Securities
and Exchange Commission. All CHX memberships were extinguished
as part of the demutualization transaction, which was effective
on February 9, 2005. A CHX trading permit now provides access
to the Exchange and its trading systems, as well as to other
marketplaces through the Intermarket Trading System and other
intermarket connections. A trading permit does not confer
any ownership rights on the holder.
How does the CHX operate?
CHX operates a fully electronic Matching System and provides
routing to CHX Institutional Brokers and off-Exchange market
makers. The CHX Matching System has been designed to provide
broker/dealers with cost efficient executions.
Which companies trade at
Publicly traded companies do not need to be listed on the
CHX to be traded here. SEC rules allow the CHX to trade stocks
listed on other exchanges. Stocks eligible for trading in
the CHX Matching System will include NYSE, AMEX and Nasdaq-listed securities.