Texas may soon put a dent in New York's status as the financial center of the universe. A Dallas-based group has filed a registration with the U.S. Securities and Exchange Commission (SEC) to establish the Texas Stock Exchange, aimed at competing with the New York Stock Exchange and the Nasdaq. The company, called TXSE Group, announced they have raised $120 million so far from a large group of investors, including major firms like BlackRock and Citadel Securities. If the registration is approved, the exchange hopes to start trading by next year and listing in 2026.
The announcement drew mockery from some in the Wall Street media. Fox Business analyst Charles Gasparino wrote on X the Texas Exchange has "about as much of a chance of making a dent...as that proverbial snowball in hell."
But other financial experts believe this is a legitimate effort. "If BlackRock and Citadel are behind it, that's not insignificant," says Richard Rosso, certified financial planner. "They're not gonna put money behind a loser."
Rosso also thinks the Texas Exchange will be an attractive alternative for companies looking to escape the growing "woke" policies of Wall Street. "You're battling against these mandated boardroom diversity quotas for companies that list on the Nasdaq, whereas the Texas Stock Exchange will be looking at tried and true companies, and what they're supposed to look for," he tells KTRH. "So you don't have to be adopting a political position in a stock exchange."
"If the policies continue where they are in blue states, and with all of the mandates that are placed on the Nasdaq in New York, then yeah, I think (Texas) can carve out a niche," Rosso continues. "Now, do I think it will replace the New York Stock Exchange? No."
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