Lead Stories ISE Announces Mini Options Launch Date of March 18, 2013Press ReleaseThe International Securities Exchange (ISE) today became the first exchange to confirm a launch date of March 18, 2013 to commence trading in Mini Options. Since receiving Securities and Exchange Commission (SEC) approval for this innovative new product offering, ISE has been coordinating with its member firms to determine an appropriate date for launch readiness. Mini Options will represent a deliverable of 10 shares of an underlying security, whereas standard contracts represent a deliverable of 100 shares. ISE will initially list Mini Options on the following securities: AAPL,…
Tag Archives: volatility
Lead Stories Shorties Options Will Stand TallA new, shorter options contract introduced last week will give investors more flexibility in hedging event-specific risks. Steven M. Sears, Barron’sMost people will tell you they’re long-term investors. They think they are able to ignore the distractions that make others panic and sell. They think they buck the trends, and have the equanimity to buy when others are selling and sell when others are buying.http://jlne.ws/UPga9A***First Weeklys, now shorties, a tool to hedge against volatility-producing market events.– SR Vix volatility index depicting bear market behaviorJeff Greenblatt, FuturesI have good news and bad news. I know…
John Lothian Newsletter: US ‘dark pool’ trades up by 50% in 3 years; A search for ‘common ground’: ‘Fiscal cliff’ negotiations begin; ‘Shadow Banking’ Up to $67 Trillion, Financial Group Says John Lothian Newsletter,Newsletter
Where has equity volume gone? In part at least, it’s headed out the exchange door and over to a dark pool in the last few years. Politicians, still in a mindset that allows them to debate whether a fiscal cliff dive is a reasonable way to do their job, begin to consider working together as a possible way to find a solution to financial problems. A financial group finds that shadow banking – financial transactions beyond the regulatory stockade – is not merely a substantial industry, but huge.
Tom Cashman, a member of an iconic Chicago Board of Trade (CBOT) family, is a pit trader, exchange trading floor broker and 50-year member of the exchange. Tom Cashman’s contributions to the CBOT governance are numerous, including serving as chairman of the Floor Governors Committee and chair of the CBOT’s Ethics and Integrity Committee formed following the FBI Investigations of the futures markets in the late 1980s. He has been a member of the exchange since 1962.
Statistics-Commentary-Insight Note: This week’s newsletter is being “guest-edited” by John Lothian News Editor-at-LargeDoug Ashburn. Quote of the Day“Options trading volumes may be down across the industry but the buy side continues to remain captivated with the potential of using options in their strategies,” -Andy Nybo, head of derivatives at Tabb Group, in the article, “US Options volume heads for first fall in a decade.” Lead Stories Liquidity to disperse further as new options venues launchThe Trade NewsThe prospect of greater choice between US equity options exchanges is being treated with caution by market observers who claim that fragmentation is already…
Former SEC Chairman David Ruder Discusses the ‘Flash Crash’ & Dodd-Frank (Part 1 of 2) Interview,Regulation,Tech / HFT,Video
Northwestern Law School professor emeritus David Ruder talks to editor/producer Nicole V. Rohr about his experience as SEC chairman during Black Monday in 1987, and also about what stemmed from the subsequent flash crash in May 2010. Ruder was a part of the President’s Working Group on Financial Markets in 1988 and more recently worked on the Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues. He discusses findings and changes to rules surrounding circuit breakers, dark pools and naked access. View Part 2 here.
JLN Options editor Sarah Rudolph spoke to Steve Crutchfield, CEO of the options business at NYSE Amex, about the 2012 Security Traders Association of Chicago (STAC) Conference and upcoming trends impacting the options market. Crutchfield, who spoke on a STAC panel titled “Cross Product Exchange Leadership,” discussed the Volcker rule and its effect on options, as well as trends in options volumes for 2012. Visit the NYSE Amex website. To see the agenda from this most recent STAC conference, click here.
Anthony Neglia is president of Tower Trading of New York City, an open outcry floor brokerage firm specializing in options on precious metals at the New York Mercantile Exchange (NYMEX). His commentary regularly appears on CNBC and TheStreet.com. John Lothian News editor-at-large Doug Ashburn spoke with Neglia about volatility in the metals market, position limits, the role of speculators, and the future of the metals space.
Keith Goggin is a partner at Integral Derivatives LLC, the largest options specialist firm on the NYSE/Amex options marketplace. He has been a market-maker and specialist in options on ETFs since their inception. John Lothian News editor-at-large Doug Ashburn spoke with Goggin about the seventh anniversary of the Gold ETF contract, the role of speculators, high market volatility, and the future of ETFs.