Options

Knight Seeks Retail Options Flow

Knight Capital Group, in the process of expanding its options market-making activities, will start soliciting retail orders this quarter.

Fee Cap Splits Options Exchanges

An SEC proposal requiring options exchanges to cap the fees they charge their members to access their markets is getting mixed reviews by exchange operators.

This Year's Model

Limit orders just sitting there, going unexecuted. It's the same old story. It happened during the heyday of the Nasdaq dealer market. It happened on the floor of the fabled NYSE, during the auction process. And it's still happening in today's sophisticated, hyper-speed market. The time, place and methods of trading may change, but the results are the same.

Cover Story: Reversal of Fortune

For most of their history, the nation's options exchanges have looked to market makers for their revenues. In return for a dominant role at the exchanges, market makers paid the lion's share of the fees. Customers, on the other hand, traded for free. That arrangement is now breaking down.

Slow Uptake for Options Algos

According to a panel of experts assembled at this year's Options Industry Conference, the options industry is five to 10 years behind the cash equities business when it comes to servicing block orders with algorithms.

Options Marts Embrace Maker-Taker

Two of the country's four traditional options exchanges are expanding their programs that pay rebates to liquidity providers and charge liquidity takers.

Best-Ex Data for Complex Options Trades Coming

S3 Matching Technologies, a Texas-based vendor that supplies brokerages with execution quality data, is rolling out a service that weighs the quality of complex options trades.

C2 Will Combine Market Models

The Chicago Board Options Exchange is offering details about the operation of its new options exchange, C2.

Citi Opens Up Options Router

Citi will give its institutional customers direct access to its smart-order router for options trading.

Cover Story: Weathering the Storm

Last Year was a transformative one for Nasdaq OMX. Its flagship stock exchange lost market share. But Nasdaq rebounded as it diversified through acquisitions, allowing it to enter new lines of business, expand into new markets and to offer new products.

Philly Options Changes Its Stripes

Nasdaq OMX PHLX is experimenting with maker-taker pricing. As of Jan. 4, the options exchange began paying specialists to quote SPY options if their quotes result in trades. It also started charging exchange customers who hit or take those quotes.

2009 Review: Penny Pilot Expanded

As it was in the cash market, so it will be in options. The SEC in September approved a plan by NYSE Arca to expand trading in penny increments to nearly 400 options classes.

CBOE and ISE Fight Flash Ban

The CBOE and ISE are fighting a regulatory push to ban flash orders in the marketplace.

SEC OKs Penny Pilot Expansion

The SEC approved NYSE Arca's proposal to expand the so-called "penny pilot" whereby options trade in penny increments.

FINRA To Examine Options Desks

TMMS exams are coming to options desks.