March 25, 2010

Mayor Daley Looks For Ways To Help Financial Trading Industry In Chicago Grow

Meets with Leaders to Ensure City is Helping to Create New Jobs for Today and Tomorrow
Mayor's Press Office    312.744.3334

 View The YouTube Video

Mayor Richard M. Daley today convened a meeting with leaders of the financial trading industry to discuss ways in which the City can continue to help support and grow the industry, which accounts for 50,000 jobs in the local economy and contributes significantly to Chicago’s position as a center of the global economy.

“Our goal is to position Chicago to reap the benefits of the better economic times to come. One of the most important things we can do in that regard is to ensure that we're helping our businesses -- small and large -- create new jobs today and tomorrow,” Daley said in a news conference which followed the meeting held at the Global Communications Center of the Chicago Mercantile Exchange, 20 S. Wacker Dr.

“Over the past year we’ve noticed more and more trading firms locating and expanding in Chicago and we know we are well positioned for growth,” he said.

Daley pointed out that the modern financial trading industry was invented in Chicago and that it is a major driver of the economy of the City and region.

For example:

  • There are 50,000 trading jobs in the metropolitan area and every trading job contributes 1.7 additional jobs in other industries to the local economy.
  • Chicago has more than twice the trading volume of New York and almost as much trading volume as all the European exchanges combined.
  • From 2005-2008, the City added 168 trading firms, for a total of more than 1,700 firms doing business here.
  • Chicago is home to nearly a quarter of the world’s global derivatives trading activity. 
  •  The national value of combined CME and CBOE contracts in 2009 was $786 trillion.

Daley said the future of the trading industry looks bright. Moody’s estimates that in the next five years, trading output will grow nearly twice as fast as overall economic output in our area.

“We want to keep that future bright because when we do that, we improve the quality of life for every Chicagoan. So today I asked leaders of this industry to sit down with me to discuss how the City can continue to help support and grow the industry,” he said.

The meeting was attended by leaders of many companies – some from industry giants such as CME Group and the Chicago Board of Options Exchange, and others from mid- and smaller-sized companies, the kinds of the firms that are expanding rapidly and adding jobs in Chicago

He was joined at the news conference by: Terry Duffy, Executive Chairman, CME Group; Bill Brodsky, Chairman and Chief Executive Officer, Chicago Board Options Exchange; Chuck Whitman, Chief Executive Officer, Infinium Capital and Jim Heinz, General Partner, Marquette Partners.

Daley said he had asked the leaders to form an advisory committee aimed at making sure all lines of communication are open between city government and the financial trading industry.

He pointed out that two weeks ago, the City’s place in the world economy was once again confirmed by the City of London’s “Global Financial Centre Index,” which placed Chicago as one of the world’s top ten financial centers.

The report said “Chicago is not just strong in derivatives trading, for which it is probably best known, but is a real ‘all-rounder’: it is strong in all areas.”

“We all benefit from a broad and diverse economy and we know that this sector is one of the keys for Chicago’s continued success and growth in the global economy. The City wants to continue its support for this industry to encourage growth,” Daley said.

“What business needs is government that’s willing to work with the business community for the good of all the people of the city. It’s in that spirit that we came together today,” he said.

# # #