Nasdaq’s Facebook Plan Comes Under Mounting Fire
UBS AG decried a proposal from Nasdaq OMX Group Inc. to make up losses for firms damaged in the Facebook Inc. stock-market debut, joining a growing chorus of Wall Street players that are calling on regulators to reject the exchange operator’s plan.
Nasdaq last month proposed a $62 million, all-cash compensation package that would be split up among afflicted firms — a plan that itself was modified after an outcry over the terms of the original $40 million proposal of cash and discounted trading fees. Estimates of Wall Street’s total losses in the Facebook debut on May 18 have been put at some $500 million.
