May Marketshare and Volume Update for ISE and CBOE

Posted June 3rd, 2012 by The Options Insider in Industry

According to OCC, here's a look at May 2012 total options marketshare:

AMEX- 14.83%

BATS- 2.99%

BOX- 4.06%

CBOE- 27.62%

C2- 1.30%

ISE- 16.29%

NSDQ- 5.15%

NYSE Arca- 9.75%

OMX PHLX- 18.02%

This compares to May 2011 total options marketshare:

AMEX- 13.38%

BATS- 3.75%

BOX- 2.51%

CBOE- 23.42%

C2- 1.09%

ISE- 16.87%
NSDQ- 4.47%
NYSE Arca- 10.18%
PHLX- 24.33%

May 2012 Equity Options Marketshare

AMEX- 16.12%

BATS- 3.26%

BOX- 4.43%

CBOE- 21.59%

C2- 1.37%

ISE- 17.64%

NSDQ- 5.61%

NYSE Arca- 10.59%

OMX PHLX- 19.38%

This compares to May 2011 equity options marketshare:

AMEX- 14.24%
BATS- 4.01%

BOX- 2.68%
CBOE- 18.61%

C2- 1.16%
ISE- 17.80%
NSDQ- 4.77%
NYSE Arca- 10.84%

PHLX- 25.89%

ISE May Volume

In May, The International Securities Exchange (ISE) reported it was the second largest equity options exchange with market share of 18.3%, excluding dividend trades, according to its press release. The exchange noted that dividend trades made up 3.8% of industry volume in May 2012.

In addition, May's average daily volume was 2.8 million contracts. This represents a 3.1 percent decrease as compared to May 2011.

Total May options volume was 61.5 million contracts.

ISE business highlights:

On May 3, 2012, ISE introduced Implied Order functionality. Implied Orders significantly enhance the execution of multi-legged strategy orders by enabling greater interaction of the complex order book with the regular order book.
On May 7, 2012, the U.S. Court of Appeals for the Federal Circuit unanimously ruled in ISE's favor in the exchange's patent infringement case about the Chicago Board Options Exchange (CBOE).
On May 11, 2012, Sylvain Mirochnikoff, Managing Director of the Institutional Equity Division for Morgan Stanley, was elected to ISE's Board of Directors as an industry director representing ISE's Primary Market Makers (PMMs).
On May 15, 2012, ISE announced a partnership with AlphaClone LLC to promote AlphaClone's innovative hedge fund position replication index, the AlphaClone Hedge Fund Long/Short Index. The first ETF based on this index, the AlphaClone Alternative Alpha ETF (NYSE: ALFA), began trading on May 31, 2012.
On May 17, 2012, ISE expanded its offering of weekly options to its ISE FX OptionsÆ product portfolio with the listing of a weekly expiration for the euro/U.S. dollar option (ticker: EUU).
On May 31, 2012, ISE announced that order management functionality is now available in PrecISE TradeÆ, including the ability to route orders to other PrecISE users for execution and to stage larger orders and divide them into smaller orders through a "parent/child" feature.

CBOE May Volume

On Friday, CBOE Holdings, Inc. (NASDAQ: CBOE) reported that May options trading volume on the Chicago Board Options Exchange (CBOE) and C2 Options Exchange (C2), combined, totaled 109.2 million contracts. May average daily volume (ADV) was under five million contracts, representing an 18 percent rise from May 2011's 4.2 million contracts ADV--a nine-percent increase from April's 4.5 million ADV contracts.

In addition, CBOE Futures Exchange (CFE) and the CBOE Volatility Index (the VIX Index), set new all-time monthly volume records of more than two million contracts in May.

CBOE Trading Volume and Market Share Highlights

CBOE trading volume: CBOE's May 2012 ADV was 4.7 million contracts, up 18 percent from 4.0 million contracts ADV in May 2011 and up nine percent from April 2012 ADV of 4.3 million contracts.

CBOE index options: May 2012 index option ADV was 1.3 million contracts, up 31 percent from just over one million contracts ADV in May 2011 and up 18 percent from April 2012 ADV of 1.1 million contracts.

CBOE ETF options: May 2012 ETF option ADV was 1.4 million contracts, up 25 percent from 1.1 million contracts ADV in May 2011 and up 32 percent from April 2012 ADV of nearly 1.1 million contracts.

ADV CBOE equity options: May 2012 equity option ADV was nearly two million contracts, up seven percent from 1.8 million contracts ADV in May 2011 and down seven percent from April 2012 ADV of 2.1 million contracts.

May's five most actively traded index and ETF options: S&P 500 Index (SPX), Standard & Poor's Depositary Receipts (SPY), CBOE Volatility Index (VIX), PowerShares QQQ Trust (QQQ) and iShares Trust-Russell 2000 Index Fund (IWM)

May's five most actively traded equity options: Apple (AAPL), Bank of America (BAC), JPMorgan Chase (JPM), Citigroup (C) and Chesapeake Energy (CHK)