Philadelphia Stock Exchange (PHLX) is the oldest stock exchange in the United States, founded in 1790. It is now owned by NASDAQ and located at 1900 Market Street, in Center City Philadelphia.
History
Over its 200 years the exchange has had various titles and has been located in various buildings around Philadelphia.
Founded in 1790 as the "Board of Brokers," it was located at the Merchants Coffee House, now known as the City Tavern, at the corner of Second and Walnut Streets.
In 1831, Stephen Girard’s bank had formed the "Philadelphia Merchant’s Exchange Company" to erect a new building to house the Board of Brokers and other groups. The Board of Brokers moved into the Merchants Exchange Building at 3rd and Dock Streets in 1834 following a fire at the Coffee House.
In 1875, the Board of Brokers changed its name to the Philadelphia Stock Exchange.
In 1876, the exchange moved to the rear of the Girard Bank Building, formerly the First Bank of the U.S. It stayed there until 1888.
From 1888 to 1902, the exchange moved to the Drexel Building which was located near Fifth Street and Chestnuts.
Between 1902 and 1912, the PHLX returned to the Merchants Exchange Building.
In 1913, it moved to a building at 1411 Walnut St, now a national landmark.
In 1951, the PHLX moved to the Central Penn Bank Building at 1401 Walnut Street. It stayed there until 1966 when it moved to a building (currently the Sofitel Hotel) at 17th and Sansom.
In December 1968, in response to a fiscal crisis, Philadelphia imposed a $0.05 per share stock transfer tax for all transactions on the PHLX. On January 2, 1969, the PHLX moved its trading floor to an office building, then known as the Decker Building, just across a street from the city boundaries in Bala Cynwyd to avoid the tax. In February, a Court ruled that the tax was illegal, and the PHLX moved its trading floor back to its headquarters in the City.
In 1981, the PHLX moved to its current location at 19th and Market.
The exchange merged with the Baltimore Stock Exchange in 1949, the Washington Stock Exchange in 1954, and the Pittsburgh Stock Exchange in 1969.
On October 22, 1981, trading was halted on both the Chicago Board of Trade and the Philadelphia Stock Exchange after anonymous callers said bombs had been placed in those buildings.
In 2005, a number of large financial firms purchased stakes in the exchange as a hedge against growing consolidation of stock trading by the New York Stock Exchange and Nasdaq. These firms—Morgan Stanley, Citigroup, Credit Suisse First Boston, UBS, Merrill Lynch and Citadel Investment Group—collectively owned about 45% of the exchange.
On October 20, 2007, The Wall Street Journal reported that the exchange was for sale by a group of its shareholders, and was expected to be sold for about $600 million.[2]
On November 7, 2007, NASDAQ announced a "definitive agreement" to purchase PHLX for $652 million, with the transaction expected to close in early 2008.[3] On July 24, 2008, the acquisition was completed, creating the third-largest options market in the U.S.
Today, the exchange handled trades for approximately 2000 stocks, 1700 equity options, 25 index options, and a number of currency options. It had a 14% United States market share in exchange-listed stock options trading.
Hours
The exchange's normal trading sessions are from 9:30 am to 4:00 pm on all days of the week except Saturdays, Sundays and holidays declared by the Exchange in advance.[4]
References
See also
External links
