Regulation, Regionalization and Reorganization
I n the early 1970s, the Banking and Securities Industry Committee (BASIC) worked on 14 projects, all designed to improve the transfer of securities. Key among these steps would be the establishment of the Comprehensive Securities Depository System, which would be an expansion of Central Certificate Service’s (CCS’) work. In September 1971, BASIC announced a memorandum of understanding signed by the New York Stock Exchange (NYSE), the American Stock Exchange (AMEX), the National Association of Securities Dealers (NASD) and the 11 member banks of the New York Clearing House Association. Soon, regional banks and markets joined in, and the National Coordinating Group was created, but challenges lay ahead. This process was occurring while Congress was still in its laborious—and eventually five-year—debate for a solution. What was happening in New York could have been upended if Congress went in a different direction.
Soon after its founding in 1973, The Depository Trust Company (DTC) moved into new offices at 55 Water Street in downtown New York City. The move marked a separation from the New York Stock Exchange.
Made with FlippingBook. PDF to flipbook with ease