ISE Total December Volume Falls 13.8 Percent, Year in Review

The International Securities Exchange (ISE) has announced its December total options volume (including equity, ETF, index and FX options) was 41,620,900 contracts, down 13.8 percent from December 2012’s volume of 48,299,000 contracts. Its December average daily volume (ADV) was 1,981,900 contracts, down 17.9 percent from December 2012’s 2,415,000 contracts.

In addition, its combined ADV for December from its two exchanges, ISE and ISE Gemini, was 2.4 million contracts. This represented 18.3% of U.S. equity options market share.

For the year, ISE’s ADV of 2.4 million contracts made it the second largest U.S. equity options exchange with market share of 16.6%*, according to ISE’s press release. Since the August 5, 2013 launch of ISE Gemini, it has reported a 308,000 ADV, with steady month-over-month ADV and market share increases. Total combined volume for both exchanges was 638.8 million contracts for the full year.

Here’s a look at ISE’s 2013 business highlights.?

Options??

• On March 18, ISE launched Mini Options. ?
• On October 15,?ISE surpassed 20 million contracts traded with Implied Order (IO) functionality.?Implied Orders significantly enhanced ISE’s industry-leading complex order book by enabling greater interaction of multi-legged orders with the regular order book. In 2013, Implied Order functionality accounted for 6.7% of all non-crossing, multi-legged contract volume executed on ISE. ?
• In August, ISE launched its second options exchange, ISE Gemini. Highlights include the following: ?
  • August 26: Became fastest new exchange to surpass two percent market share.
  • October 23: Surpassed 500k contracts traded and three percent market share in a single trading day.?
  • November 19: Surpassed 20 million total contracts traded.?
  • November 25: Completed fourth product rollout with 1,000 total products listed.?
  • As of year end, ISE Gemini had over 75 member firms and a 2.2% market share, excluding dividend trades. ?

ISE ETF Ventures?

• ISE strengthened its focus on the ETF and index development area by introducing the ISE ETF Ventures brand. ?
• ISE ETF Ventures grew its network through new 2013 partnerships: ?
  • Licensed the ISE Water Index (ticker: HHO) to KSM (Israel’s largest ETF issuer) for the KSM Water fund (KSMDJWA:IT). ?
  • Additional partnerships took place with:
    • YieldShares to develop and launch the ISE High Income IndexTM as the basis for the Yield Shares High Income ETF (NYSEArca: YYY)
    • BlueStar Indexes to develop a family of indexes and use them as a basis for exchange traded products (ETPs).The BlueStar Israel Global Index (ticker: BLS) was the first index developed through the partnership and serves as the basis for the Market Vectors? Israel ETF (NYSEArca: ISRA?).
    • The SecuredGrowth Quantitative Research, Inc. (SGQR) to develop and promote indexes that combine the performance of popular ETPs to enhance the return of ay benchmark index or portfolio in a fully transparent, low-risk and liquid manner.
  • Assets under management tied to ISE indexes exceeded $1.3 billion.?