New York - The Nasdaq stock exchange says it will set aside
$40m to reimburse investors ensnared by technical problems on Facebook's first
day of trading.
FINRA, the financial industry's self-regulatory group, will
review investors' claims for compensation.
Computer glitches on Facebook's first day of trading May 18
kept some investors from buying or selling shares and delayed the initial
trades in the stock by half an hour.
Nasdaq says it will reimburse investors who tried to sell
shares at $42 or less but either couldn't sell or sold at a lower price than
It will also reimburse investors for purchases priced at $42
that weren't immediately confirmed. The stock initially priced at $38.
Nasdaq says the problems have been fixed. It has hired IBM to review its operating systems.