Most firms for derivatives clearing and prime services use outdated systems and should invest in upgraded technology, according to a study by IBM and Cinnober unit Minium. Firms have an opportunity to "take a quantum leap forward by investing in new technologies that are tailored for modern businesses and aligned with the current regulatory environment," the study says.
OrCam, an Israeli startup that developed technology that helps those who are blind or visually impaired, raised $30.4 million in a funding round that gave it a $1 billion valuation. Some of the money will be used to position the startup for an initial public offering.
Planetary Resources, a startup working on technology to mine asteroids, failed to hit a fundraising target and reportedly has been scaling back its staff. Spokeswoman Stacey Tearne said the company was "focusing on near-term revenue streams by maximizing the opportunity of having a spacecraft in orbit."
Morphisec, an Israeli cybersecurity startup, raised $12 million in a funding round that included investments from Orange, Deutsche Telekom and General Electric. The startup was spun out of Ben-Gurion University's Cyber Research Labs.
Elon Musk's Boring Co. has obtained a permit related to what could someday be a Hyperloop transporting passengers from Washington, D.C., to New York City in 29 minutes. The permit allows excavation and site preparation at a site in Washington.
Markets show no signs of obvious bubbles, but recent volatility shows the potential for unexpected corrections, A. Gary Shilling writes. "[T]here are enough imbalances that could lead to death by a thousand cuts, especially if stocks fall much further," he writes.
Exchange-traded funds that target environmental, social and governance impact in selecting portfolio companies have gained popularity in recent years, but so far appear to be lacking measurable performance advantages for investors. Many offerings in the category have existed for a relatively short time and are still building a record of performance.
House-approved legislation would make subpoenas mandatory for the Securities and Exchange Commission to examine quantitative traders' algorithms and associated intellectual property. The legislation covers broker-dealers, hedge funds and other firms subject to SEC oversight.