Duncan Niederauer
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| Duncan Niederauer | |
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| Occupation | CEO |
|---|---|
| Employer | NYSE Euronext |
| Location | New York |
| Website | www.nyse.com |
Duncan Niederauer is the chief executive officer of NYSE Euronext. He was named CEO effective Dec. 1, 2007 on Nov. 14, 2007, replacing former CEO John Thain, who departed to head Merrill Lynch & Co., Inc.[1]
On December 20, 2012, IntercontinentalExchange Inc. announced plans to buy NYSE Euronext in a cash-and-stock deal valued at $8.2 billion.[2] Under the terms of the deal, which is expected to close in the second half of 2013, Niederauer would become president of the combined company, while ICE head Jeffrey Sprecher would remain chairman and CEO. [3]
Niederauer has served as a member of the Company's management committee since April 2007. He also serves on the boards of NYSE Group and Euronext[4], as well as on the board of directors of the World Federation of Exchanges.[5][6]
Niederauer was hired in 2007 to try to revitalize the Big Board, which had been struggling since its peak in the 1990s. His solution has been to deliver on cost-cutting promised by his predecessor in the 2007 merger with Euronext, while investing in the company's technology and diversifying its business lines.[7] He was an outspoken proponent of electronic trading and continued NYSE's move into computerized market making of stocks.
On March 3, 2010, NYSE Euronext said Niederauer would focus his attention on the exchange operator's derivatives business, seeing it as the key driver of revenue growth in coming years.[8] To that end, he entered into negotiations with Deutsche Borse on a merger of the two companies which would create the world's largest exchange, with significant operations in stocks, options and other derivatives. Deutsche Börse is a big player in European futures contracts, one of the most profitable businesses for NYSE Euronext. [9]
In a speech given at a Futures Industry Association (FIA) luncheon in July of 2008, Niederauer provided some insight into his management style. "It's OK to try some things that don't work," he said, explaining that he'd rather his employees were innovative rather than fearful of failure. He also insisted that he's open to giving people a "free pass" if a new idea fails.[10]
In April 2011, a bidding war erupted between Deutsche Boerse and the combination of Nasdaq OMX and ICE over the merger with NYSE Euronext. Nasdaq OMX and ICE withdrew their offer in May 2011 [1] after the U.S. Justice Department indicated it would not approve it. In July 2011 the merger of NYSE Euronext and Deutsche Boerse was approved by their respective shareholders and is now pending regulatory reviews.[11]
Background
Before taking the reins as CEO of the exchange, Niederauer joined NYSE Euronext as president and co-chief operating officer in April 2007. He was previously a partner at The Goldman Sachs Group, Inc. (U.S.), where he held many positions, including co-head of the Equities Division Execution Services franchise and the managing director responsible for Goldman Sachs Execution & Clearing, L.P. (formerly known as Spear, Leeds & Kellogg L.P.). He joined Goldman in 1985. From March 2002 until February 2004, he also served on the board of managers of Archipelago Holdings, LLC. [12]
Education
Niederauer received a B.A. from Colgate University and an MBA from Emory University.
References
- ↑ "Biographical Sketch of Duncan Niederauer”. news.moneycentral.msn.com.
- ↑ ICE to Buy NYSE for $8.2 Billion, Ending Era of Independence. CNBC.
- ↑ IntercontinentalExchange to Acquire NYSE Euronext For $33.12 Per Share in Stock and Cash, Creating Premier Global Market Operator. NYSE Euronext.
- ↑ Duncan Niederauer Profile. Forbes.
- ↑ 2010 Annual Report & Statistics. World Federation of Exchanges.
- ↑ Board of Directors. World Federation of Exchanges.
- ↑ Building on a New Trade. Barrons.com.
- ↑ NYSE Euronext CEO to focus on derivatives business. Reuters.
- ↑ For Big Board Chief, It's Hero or Goat. The Wall Street Journal.
- ↑ NYSE Euronext’s Duncan Niederauer: It’s OK to Fail. Advanced Trading.
- ↑ Deutsche Boerse Shareholders Approve NYSE Euronext Merger. Securities Technology Monitor.
- ↑ "Niederauer May Mimic Fellow Goldman Veteran Thain”. bloomberg.com.
