CME, NYMEX shareholders approve merger


Shareholders of the CME Group Inc. [[CME]] and NYMEX Holdings Inc. [[NMX]] approved their proposed merger Monday, putting theĀ derivatives unionĀ on track to be finalized by the end of the week.

In a press release, Craig Donohue, CEO of CME Group, said: “Today’s approval provides us with tremendous new global growth opportunities in both listed and over-the-counter derivatives markets, and further enhances CME Group’s leading position in global financial markets.”

CME Group was created when the Chicago Mercantile Exchange and the Chicago Board of Trade merged in 2007. On August 7, Michael Wong, an analyst with Chicago-based Morningstar Inc., wrote: “[CME Group] is the largest futures and options exchange in the world serving the hedging, speculation, and asset allocation needs of institutions and individuals. CME Group has been able to generate profit margins exceeding 50 percent for the last three years, but it’s unknown if the company will be able to defend its profitability from its powerful customer base, competitors, and government regulators.”

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