Former SEC Chairman Harvey Pitt told CNBC on Thursday that a deal for (NYX) to sell itself to smaller rival (ICE) (ICE) signals that "equity trading is not the wave of the profitable future."
"Technology has changed the landscape," said the CEO of Kalorama Partners Pitt on "Squawk Box."
"Trading volume for equity securities has largely left the New York Stock Exchange, which has become more of a forum for smaller transactions," he added. "And 'dark pools' have been the forum for larger transactions."
Pitt said he thinks this deal has a "high percentage of passing" regulatory muster.
The deal was confirmed by the exchanges Thursday morning, but CNBC's David Faber first got wind of the talks last night.
Follow Matthew J. Belvedere on Twitter @Matt_SquawkCNBC
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