The Options Insider

CBOE January ADV Fell Seven Percent Year Over Year

by | Feb 4, 2013 | Industry

On Friday, CBOE Holdings, Inc.?(NASDAQ:?CBOE) reported its January trading volume for options contracts on?Chicago?Board Options Exchange??(CBOE?) and?C2 Options ExchangeSM?(C2SM) and futures contracts on?CBOE Futures ExchangeSM?(CFE?) totaled 89.02 million contracts.

January 2013 average daily volume (ADV) was 4.24 million contracts, up eight percent from December 2012’s 3.93 million contracts and down seven percent from January 2012’s 4.56 million contracts. ?

January CBOE Trading Volume

  • CBOE January 2013?ADV was 3.85 million contracts, down 11 percent from?January 2012?ADV of 4.32 million contracts and up seven percent from?December 2012?ADV of 3.60 million contracts.
  • VIX Index options recorded their best month ever with an average daily volume of 680,822 contracts, exceeding the previous record ADV of 582,022 contracts in August 2011. Total volume for the month was a record 14.3 million contracts.?
  • For January, index options ADV rose 46 percent and 19 percent, respectively, from?January 2012?and?December 2012.
  • In January, the five most actively traded index and ETF options at?CBOE included S&P 500??Index (SPXSM) options, CBOE Volatility Index??(VIX??Index) options, Standard & Poor’s Depositary Receipt (SPY) options, iShares Trust – Russell 2000?Index Fund?(IWM) options and iPath S&P 500 VIX Short-Term Futures ETN (VXX) options.

January CBOE Market Share?

  • CBOE?market share of total U.S. options industry volume was 22.4 percent in?January 2013, down 0.6 of a percentage point from?December 2012?and down 3.3 percentage points from?January 2012.
  • If the volume from dividend trades was excluded from industry data for January, the Exchange’s total market share would be 22.8 percent. Exclusion of dividend trades from total industry volume data presents a more relevant measure of the relative trends in the options business.

C2 Trading Volume

  • January 2013 C2 volume was 5.25 million contracts with ADV at 250,100 contracts, up 24 percent from?January 2012’s 201,800 ADV contracts and up 19 percent from?December 2012’s 210,500 ADV contracts.

C2 Market Share

  • January 2013 C2 market share of total industry volume was 1.5 percent, up 0.3 of a percentage point from?January 2012?and up 0.1 of a percentage point from December 2012.

CBOE Futures Exchange Trading Volume

  • VIX futures monthly trading volume and ADV established all-time highs in January 2013.? Nearly 2.9 million VIX futures contracts changed hands, surpassing the previous record of over 2.7 million contracts traded in November 2012.?
  • The record VIX futures ADV in January was 137,988 contracts, up 241 percent and 13 percent, respectively, from 40,439 contracts in?January 2012?and 121,782 contracts in December 2012.
  • VIX futures also set new open interest records on four consecutive days in January, culminating on?January 16?with record open interest of 472,403 contracts.

CBOE Holdings Average Transaction Fee Per Contract??

  • The company will report its average transaction fee per contract for the three months ended?December 31, 2012, in conjunction with its quarterly earnings news release, which will be issued on?Friday, February 8, 2013. ?