FRANKFURT, Germany, Feb. 9 (UPI) -- A top official of Man Group, a London brokerage firm, has apologized for threatening Eurex, Frankfurt's big electronic derivatives exchange.
Kevin Davis, managing director of Man Financial, sent an e-mail in December to Eurex chief Rudolf Ferscha after Davis became convinced Eurex's U.S. arm, The Clearing Corp., was trying to steal Man's biggest client, Marquette Partners of Chicago.
"One day you will personally reap the benefits of this ... I am a very patient man and I will await my opportunity which will surely come," Davis wrote.
Man's chief executive said: "We have long since apologized for the language used by Kevin. That apology has been accepted and the matter is considered closed by the parties."
Man officials, however, still think the basis of Davis' e-mail is on point: Ever since Eurex launched a U.S.-based electronic futures exchange, traders like Marquette have had a choice about how they clear their euro-denominated products, the Financial Times said Wednesday.
Formerly, traders needed a European broker, like Man, to clear their trades, an arrangement that earned Man substantial fees. Now traders can use The Clearing Corp., 14 percent-owned by Eurex, at a far lower cost, thus threatening the profitability of Man and other brokers.