NYSE TOUR
MEDIA
34 global news entities broadcast live daily from the Trading Floor Including Fox Business, CNN, CBS, BBC, and others that broadcast in languages such as German, Chinese, Japanese, Russian, and Spanish. CNBC was the first to report from the Trading Floor in 1995 and built the current full stage set in 2012. Newest outlet: Cheddar Live streaming business news service that broadcasts live exclusively from the NYSE Geared towards Millennials and delivers news that's easily digestible and informative about topics and companies Millennials care about Broadcasts live from the Trading Floor via Facebook Live, Twitter, Sirius XM and others
BROKERS
Floor brokers are employees of member firms who execute trades on the exchange floor on behalf of the firm's clients. They act as agents, buying and selling stock for the public (institutions, hedge funds, broker/dealers). Floor brokers are physically present on the trading floor and are active participants during NYSE opening and closing auctions, as well as throughout the trading day. There are two types of brokers House Brokers Employed by large brokerage houses such as Goldman Sachs, MGS, First Boston (Credit Suisse), JPMorgan Represent the interests of their employer only Independent brokers Broker Dealers: Individuals who only execute business on the floor of the NYSE via their handheld device Blue Line Brokers: Independent brokers who have additional licenses in order to be able to execute business with public customers such as Institutions, Mutual Funds, Pension Funds, Foundations, Hedge Funds, etc. They can trade both physically in the NYSE auction market and also electronically from their order management programs on their hand-held devices to any of the 9 exchanges or just NYSE. Blue Line Brokers benefit from being on the NYSE floor for IPO's, openings, closings and at any time there is news pending. They enjoy instant parity because they are located on the floor as opposed to off floor brokers who access the system electronically. Blue lines historically delineated the official trading environment as only "members" were allowed within the blue line surrounding a DMM booth. When the NYSE allowed properly qualified, registered brokers to trade on alternative market centers, the "blue line" was used as a descriptor to identify those brokers. In other words, these brokers could "cross the blue line". Brokers primarily sit along the perimeter of the room.
BUTTONWOOD ROOM/NYSE RAMP
In 1922 the NYSE expanded into "the Garage" which was renovated and re-named the Buttonwood Room in 2015. This room houses NYSE Amex Options, US Cash Equities, ICE Futures US, and NYSE operations staff. The NYSE Ramp (connects the Main Room with the Buttonwood Room) houses the central command center for NYSE and NYSE ARCA from where NYSE operations staff monitors the NYSE trading systems and manages the day-to-day operations of the NYSE equity market.
FACADE
NYSE celebrates its 225th Anniversary on May 17, 2017. The NYSE can trace its roots back to 1789 when George Washington was inaugurated as president at Federal Hall. In 1790, Alexander Hamilton, secretary of the treasury, planned to finance the new nation and fund its debt after the Revolutionary War and within a few years, trading in government bonds brought capital markets into existence. In 1792, 24 brokers who met to trade regularly under a Buttonwood Tree on Wall St. signed the Buttonwood Agreement forming an official organization that later became the New York Stock Exchange. The Buttonwood Agreement established confidence and order in the market by declaring: The brokers would trade solely with each other They would all charge the same commission rate of .25% The "Call Market" - Trading operated as a Call Market where the NYSE President used a gavel to open and close trading for one stock at a time, each trading for 5 minutes. Up to 152 listed companies were traded in the Call Market until 1871 when trading changed to a "Continuous Market". The "Continuous Market" - 1871-2005 Stocks began to trade simultaneously and a bell was installed to mark the beginning and end of the daily trading session. Every stock had a Specialist and at least two clerks. Today, an average of 2,400 listed companies trade on the NYSE. In 1903, the newly built Trading Floor was considered one of the largest spaces in New York and was the first air conditioned space in NYC.
HISTORY
On April 22, 1903 the current 11 Wall Street building opened. The NYSE Building Committee oversaw every detail of the new building's construction. It took two years and $4 million to complete the new structure opening in 1903. George B. Post designed every detail of the building form the façade down to the coat racks that are located throughout the 6th floor. The statuary on the pediment of the building was designed by John Quincy Adams Ward, an eminent sculptor of the late 19th century. John Quincy Adams Ward also designed the statue of George Washington located on the steps of Federal Hall. The pediment is titled "Integrity Protecting the Works of Man." Standing at the center is a female figure who represents "Integrity" which is at the heart of the securities business. On either side are figures representing various sources of wealth and the means of invention -- Agriculture and Mining on her left and Science, Industry and Invention to her right. The original marble figures were replaced with lead-coated copper replicas in 1936, due to defects in the original stone and deterioration from pollution.;
FAQ
Q: How many DMM firms and individual DMMs are on the floor? A: There are 68 individual DMMs on the Trading Floor who are employed by 6 NYSE DMM firms. DMM firms include Virtu, IMC, GTS, Citadel, J, Streicher, and Brendan Cryan. 2. Q: How many brokers are on the Trading Floor? A: There are 209 Floor Brokers as of December 2016. 3. Q: When did open outcry trading stop? A: Open outcry trading ceased in 2006 when the NYSE merged with Arca. Short for Archipelago Exchange, Arca was the first all- electronic exchange in the U.S. on which stocks and options are traded. Once a portion of trading occurred electronically the value of the open outcry was diminished since it no longer fully reflected the active quotes. The introduction of the electronic book and inter- market trading systems digitally combined the crowd's offers with trading across the country on a single screen. Acquiring Arca helped provide technology to allow the ending of open outcry and more importantly gave the Exchange the autonomy to end the practice. 4. Q: When did the NYSE stop allowing people to buy or sell seats? A: Buying and selling of seats stopped in 2006 when the NYSE went public by merging with Arca, an existing publically traded company. Values of seats were exchanged for NYSE stock and a one-time cash payment. 5. Q: What is the average volume of equities traded on the NYSE? A: The average daily volume of equities traded on NYSE is currently about 1.3 billion shares. 6. Q: What was the first company to list on the NYSE? A: The first listed company was Bank of New York which traded under the Buttonwood Tree in 1792. 7. Q: What is the longest listed company on the NYSE? A: The longest listed company is Con Edison listed in 1824 as the New York Gas Light Company. 8. Q: What is the oldest listed company? A: The oldest listed company is Sotheby's founded in 1744 but it did not list here until 1990. 9. Q: When did the NYSE first start using an electronic button to ring the bell? A: The button to ring the bell was first introduced in 1903 when the current Trading Floor opened. Q: How many of the DOW 30 Stocks are listed at the NYSE? A: 26 of the 30 are NYSE listed. The 4 not listed on the NYSE are Intel, Microsoft, Cisco, and Apple. 11. Q: How many floors does the tower have? A. 23. 12. Q: What is the average number of companies that go public on the NYSE? A: Over the past 5 years, the average number of IPOs is 69. This does not include transfers, spins, carves, or closed-end fund. Q: When did the Exchange's name change from The New York Stock and Exchange Board to the New York Stock Exchange? A: The Exchange changed its name from The New York Stock and Exchange Board to the New York Stock Exchange in 1863. History of the NYSE's names: Nameless (Under buttonwood agreement) 1792-1817 New York Stock and Exchange Board 1817-1863 New York Stock Exchange 1863-2006 NYSE Group 2006-2007 NYSE Euronext 2007-2013 New York Stock Exchange, An Intercontinental Exchange Company 2013- present
DESIGNATED MARKET MAKERS (DMMS)
The DMMs contribute to our unique market model which fuses advanced tech capabilities with the oversight of market professionals. This human connection creates orderly opens and closes, lowers volatility, provides deeper liquidity and improves prices. The NYSE is the only exchange that uses DMMs. DMMs are located in the center of the Trading Floor in the figure 8 booths. Today, a single Designated Market Maker is responsible for: Creating competitive bids and offers in their assigned stocks all day Overseeing an average of 50 stocks each using NYSE's cutting edge technology and their expertise Providing price stability by buying and selling again market trends DMMs are especially important during more volatile days below because they can step in to minimize market imbalances. Days like this include: Expiration IPOs Days with breaking news 2,400 stocks are listed at the NYSE and each one has a specific DMM who is responsible for that company's stock. Because of a DMM's expertise, listed companies benefit from: Deeper pools of liquidity Reduced volatility
CURRENT NYSE FACTS
The NYSE is the world's largest stock exchange with $25.8 Trillion in market capital. (The second largest is NASDAQ with $8.5 Trillion*) The NYSE provides visionary entrepreneurs with the means to improve the lives of millions of people around the world with their innovations, products and services. Through the NYSE, they have the means to raise capital they need to grow, create jobs, spur economic growth and technological innovation. We are home to: 87% of the DJIA 77% of the S&P 500 80% of the Fortune 100 companies Market Share 99% Energy/Utilities 90% Financial 90% Industrials 75% Consumer Goods 73% Healthcare 55% Tech NYSE Arca Delivers the benefits of deep liquidity, transparency and tremendous speed and efficiency Ranked #1 in the listing and trading of ETFs with 1,510 ETFs listed here Some of our listed companies and recent IPOs include: On Sep, 19 2014 Alibaba became the biggest US IPO in history raising $25 billion. E.l.f. Beauty went public on Sep. 22, 2016, and is only the third beauty products brand to launch an IPO in the past decade, focused on diverse consumers and millennials. On Sep 23, 2016, Valvoline, a company that operates oil change centers across the U.S. went public and was one of the biggest in 2016 raising $660 million. ZTO Express, a Chinese package delivery company raised $1.4 billion in the biggest U.S. initial public offering of 2016 on Oct 27, 2016. Acushnet Company, Inc. IPO'd on Oct. 28, 2016 and owns brands such as Titleist, FootJoy, and Scotty Cameron. On Nov 1, 2016, Yum China, a spin-off of Yum! Brands, owners of KFC, Pizza Hut, and Taco Bell went public.
