New exchange may give biotechs alternative to NASDAQ, NYSE

A new equities exchange founded by financial firms could offer biotechs a simple, low-cost alternative to NASDAQ or NYSE. The Members Exchange (MEMX), which counts BofA Merrill Lynch and Morgan Stanley among its founders, will apply early this year with the Securities and Exchange Commission to operate as a national securities exchange. Neither MEMX nor the SEC responded to inquiries regarding how long the approval process might take.

MEMX would limit offerings to basic order types for a simpler, more transparent trading model. It would also provide lower pricing on market data, connectivity and transaction fees. Douglas Cifu, CEO of MEMX founding member Virtu Financial, said in a statement Jan. 7 that the proposed launch is a "testament to the market-wide demand for competition, innovation, and transparency."...