Miami International Holdings and T3 Index Announce Launch of ConvexityShares ETFs Offering Exposure to SPIKES Volatility Index
Princeton, N.J. — August 16, 2022 — Miami International Holdings, Inc. (MIH), owner of Miami International Securities Exchange, LLC (MIAX®), MIAX PEARL, LLC (MIAX Pearl®), MIAX Emerald, LLC (MIAX Emerald®), Minneapolis Grain Exchange, LLC (MGEXTM) and The Bermuda Stock Exchange (BSXTM) and T3 Index today jointly announced the launch of two new ConvexitySharesTM exchange traded funds (ETFs) developed to provide investors with access to a new product designed to manage volatility exposure.
ConvexityShares ETFs offer exposure to SPDR® S&P 500® ETF (SPY) volatility and track the SPIKES Futures Short-Term Index (SPKF), which uses input prices of the front two SPIKES® Futures contracts to measure a daily rolling position to provide exposure to the front end of the SPIKES Futures curve. The ConvexityShares ETFs include the ConvexityShares 1x SPIKES Futures ETF (Ticker: SPKX) and the ConvexityShares Daily 1.5x SPIKES Futures ETF (Ticker: SPKY). Each of these ETFs will be listed for trading on NYSE Arca Inc.
“MIAX is pleased to partner with T3 Index to provide a new way to trade volatility,” said Thomas P. Gallagher, Chairman and CEO of MIH. “The launch of ConvexityShares ETFs is an important milestone for the SPIKES Volatility Products franchise, bringing much-needed competition to the marketplace and providing a powerful tool to help market participants manage risk and capitalize on changes in market volatility.”
“MIAX and T3 Index have developed a strong partnership as we developed and launched our portfolio of SPIKES Volatility Products,” said Joseph W. Ferraro III, President of MIAX Futures. “This launch expands our volatility trading ecosystem and showcases our commitment to offer new and innovative products to the trading community.”
The launch of the ConvexityShares ETFs offers traders and investors a new, alternative tool to hedge and capitalize on volatility and is an important enhancement to the current SPIKES® Volatility Products portfolio that T3 and MIAX have jointly created since launching the SPIKES Volatility Index (Ticker: SPIKE) in 2019. The SPIKES index is a measure of the expected 30-day volatility in SPY and the basis for SPIKES Volatility Products.
“In an increasingly volatile and complex market, the launch of ConvexityShares ETFs provides more choice and opportunity in how traders hedge volatility,” said Simon Ho, CEO of T3 Index. “Both the SPIKES Volatility Index and the SPIKES Futures Short-Term Index seek to offer new indexes that are reliable, accurate and an alternative to what’s currently available for volatility traders.”
For more information about ConvexityShares and to download the prospectus, please visit www.convexityshares.com.
More information on the SPIKES index can be found here.
MIAX’s parent holding company, MiamiInternational Holdings, Inc., owns MiamiInternational Securities Exchange, LLC (MIAX®), MIAX PEARL, LLC (MIAX Pearl®), MIAX Emerald, LLC (MIAX Emerald®), Minneapolis Grain Exchange, LLC (MGEX™), and The Bermuda Stock Exchange (BSX™).
MIAX, MIAX Pearl and MIAX Emerald are national securities exchanges registered with the Securities and Exchange Commission (SEC) that are enabled by our in-house built, proprietary technology. MIAX offers trading of options on all three exchanges as well as cash equities through MIAX Pearl Equities™. The MIAX trading platform was built to meet the high-performance quoting demands of the U.S. options trading industry and is differentiated by throughput, latency, reliability and wire-order determinism. MIAX also serves as the exclusive exchange venue for cash-settled options on the SPIKES® Volatility Index (Ticker: SPIKE), a measure of the expected 30-day volatility in the SPDR® S&P 500® ETF (SPY).
MGEX is a registered exchange with the Commodity Futures Trading Commission (CFTC) and is a Notice Registered Securities Futures Product Exchange with the SEC. MGEX serves as the exclusive market for a variety of products including Hard Red Spring Wheat, SPIKES Futures and TAX Futures. MGEX is a Designated Contract Market (DCM) and Derivatives Clearing Organization (DCO) under the CFTC, providing DCM, DCO and cash market services in an array of asset classes.
BSX is a fully electronic, vertically integrated international securities market, headquartered in Bermuda and organized in 1971. BSX specializes in the listing and trading of capital market instruments such as equities, debt issues, funds, hedge funds, derivative warrants, and insurance linked securities.
MIAX’s executive offices and National Operations Center are located in Princeton, N.J., with additional offices located in Miami, FL, Minneapolis, MN, and Hamilton, Bermuda.
To learn more about MIAX visit www.MIAXOptions.com.
To learn more about MGEX visit www.mgex.com.
To learn more about BSX visit www.bsx.com.
About T3 Index
T3 Index is a research-driven financial indexing firm specializing in volatility and option benchmarking, and is the developer of the SPIKES Index. T3 Index is dedicated to creating investible, proprietary indices that track related strategies across a range of asset classes to transform the way people invest in and manage risk. For more information on T3 Index and its range of volatility, crypto and interest-rate indices, please visit www.t3index.com.
ConvexityShares Trust (the Trust) is a Delaware statutory trust formed on April 12, 2021, and is currently organized into two separate series. The Trust is a series trust formed pursuant to the Delaware Statutory Trust Act, of which ConvexityShares Daily 1.5x SPIKES Futures ETF and ConvexityShares 1x SPIKES Futures ETF (each, a Fund and collectively, the Funds) are currently the only series. Each Fund is a commodity pool that continuously issues common shares of beneficial interest (Shares). Shares represent units of fractional undivided beneficial interest in and ownership of a series of the Trust. The Shares of each Fund are listed for trading on NYSE Arca, Inc. (NYSE Arca or the Exchange) under the ticker symbol shown above next to each Fund’s name.
Ownership or “membership” interests in the Sponsor are owned by persons referred to as “members.” T3i US Holdings Inc. (T3 Holdings) and MIAX Futures, LLC (MIAX Futures) are the members of the Sponsor. MIAX Futures and T3 Holdings own 51% and 49%, respectively, of the membership interests of the Sponsor. MIAX Futures is wholly-owned by Miami International Holdings, Inc. (MIH), which is the parent holding company of Miami International Securities Exchange, LLC (MIAX®), MIAX PEARL, LLC (MIAX Pearl®) and MIAX Emerald, LLC (MIAX Emerald®), three fully electronic options trading exchanges, MIAX Pearl Equities, a fully electronic equities exchange, and Minneapolis Grain Exchange, LLC (MGEX™). MIH is also the sole owner of the Bermuda Stock Exchange (BSX™). T3 Holdings and T3i Pty Ltd are each wholly-owned subsidiaries of Triple Three Partners Pty Ltd and, thus, the Sponsor may be considered to be an affiliate of T3 Index.