In June, we acquired analytics firm Trade Alert, reopened our Chicago trading floor, launched new trading products and enhancements and more. Follow us on Twitter for daily updates as we continue defining markets and check back here at the end of July for our next monthly update.
Cboe Acquires Trade Alert
Cboe acquired Trade Alert, a real-time alerts and order flow analysis service provider, at the beginning of June. The New York-based Trade Alert team joins Cboe Information Solutions and will integrate its services into the group’s comprehensive suite of data solutions, analytics and indices.
Trade Alert will enable Cboe to deliver real-time trade data, highly curated market information and alerts, and Cboe content, including thought leadership, directly to customers. We will be able to better serve our global clients by arming them with Trade Alert solutions that can simplify complexity within the derivatives markets and make sense of the abundance of available raw market data.
Getting to Know Henry Schwartz
In addition to its innovative technology, Trade Alert brings to Cboe its incredibly talented team. Henry Schwartz, founder of Trade Alert, joined Cboe’s Information Solutions group as Senior Director, Head of Product Intelligence. In a recent Medium post, Henry shares the story behind founding Trade Alert, the need for real-time information and why he’s excited to join Cboe.
Cboe Reports May 2020 Trading Volume
Highlights from Cboe’s monthly volume report included significant increases in options and U.S. equities average daily volume (ADV), as well as a record monthly ADV of one million contracts traded on Cboe EDGX Options Exchange.
Cboe Lists for Trading the First Proxy Model, Semi-Transparent ETFs with Fidelity
Cboe listed three actively managed, semi-transparent exchange traded funds (ETFs) from Fidelity Investments: the Fidelity Blue Chip Value ETF (ticker: FBCV), Fidelity Blue Chip Growth ETF (ticker: FBCG) and Fidelity New Millennium ETF (ticker: FMIL). With the launch of these ETFs, Cboe expands the suite of actively managed, semi-transparent ETFs listed on its exchange.
Cboe Launches New Protective Trading Tool Against Quote Depletion
On June 10, Cboe introduced Quote Depletion Protection (QDP), an enhancement designed to increase the efficacy of Cboe’s Midpoint Discretionary Order (MDO). The MDO is an innovative order type that is designed to enable participants to trade more often with maximum price improvement. Market participants will have the choice to deploy QDP on MDOs entered on either the Cboe EDGX™ or EDGA™ Equities Exchange. When activated, QDP would disable discretion for a limited period to help prevent participants from exercising discretion in undesirable circumstances, such as buying right before a price declines, or selling right before a price rises. Eugene Davidovich shared more about how QDP may enhance trading execution on the Cboe blog.
An Update from Cboe Europe President David Howson
Cboe Europe President David Howson shared insights about the current market environment in Europe, including Cboe’s response to the European Commission’s public consultation on the review of the MiFID II/MiFIR framework and advocacy for a consolidated tape in Europe
Cboe Reopens Its Chicago Trading Floor
Cboe reopened its Chicago trading floor on Monday, June 15, following three months of being temporarily closed due to COVID-19. The reopened Cboe Options Exchange trading floor is now accommodating open-outcry trading activity with a modified floor layout, and with stringent health and safety protocols in place for the well-being of the trading floor community, which includes Cboe associates and trading permit holders (TPHs).
Cboe Celebrates 10 Years as a Public Company
June 15 also marked the 10-year anniversary of Cboe’s IPO. We’re grateful to our shareholders and the investing community for your ongoing confidence in Cboe as we lead the charge in defining markets. Here’s to the next decade!
The 32nd Annual Russell Reconstitution Explained
Cboe’s Rick Rosenthal explains the annual Russell Recon in this June blog post. FTSE Russell Indexes are reconstituted over a multi-week process in accordance to its benchmark methodology on an annual basis. The reconstitution reflects changes from the preceding year by adding and removing shares of companies to the U.S. Russell Indexes. Approximately 98% of the listed U.S. equity market is represented by the widely followed Russell 3000 Index which includes the subset benchmarks Russell 1000 Index (large-caps) and Russell 2000 Index (small-caps).
Cboe Launches Cboe FX Central
Cboe ended the month with the launch of Cboe FX Central, a new central limit order book (CLOB) designed to bring competition and innovation to the FX market. Cboe FX Central is designed to be an all-to-all market in which all liquidity in the order book is firm, meaning it is instantly executable by all clients. The new order book will offer trading in the most actively traded pairs in the spot FX market.
Visit Cboe’s website for more information.
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