Euronext announced today to slash the five cent tick size area. Beginning next month on April 1st, all stock options with a value below 50 cents will be trading with a tick size of one cent. This means a market of 0.47 – 0.48 instead of the current 0.45-0.50. The index options will remain unchanged.Read more
Euronext is trumpeting the introduction of even more expiration months in ranks of certain illiquid stock options. “Supply creates demand” seems to be the spirit at the exchange. The new short term expiration months will be the first month, a second month and a third month – next to existing the four quarterly expirations. IntroductionRead more
Susquehanna International Group has successfully taken over some of the primary market maker spots which came available after VDM went out of business. However, they haven’t exactly conquered the crown jewels. PMM & CMMAs a primary market maker (pmm) one has the obligation to send quotes in all series in an option class. Short term,Read more
Nobody seems to escape from the crisis. Pensionfunds are in troubled water, real estate prices drop and the government is the proud owner of banks and industries. Bank employees are struggling to keep their jobs. And the option-traders? Anyone trading for a bank is risking their job, but the pure play market makers should beRead more
Euronext is finally ready to introduce the one-cent tick size in the Amsterdam stock options market. This Premium Based Tick Size plan has been postponed for a while, the crisis curbed their enthusiasm in November 2008. Seven months later the united market maker lobby has achieved some success as well. The threshold has been setRead more
