CBOE Widens Market Share Lead

CBOE executed 33.98% of total options volume last month, up from 32.08% in May. The International Securities Exchange executed 26.78% of total order flow, down from 28.17% in May. Overall, the options industry traded 304,003,964 contracts, up 36% over a year ago, according to the Options Industry Council.

CBOE sited several trading volume records set in June in its index options, which the ISE has a limited exposure to. Overall index volumes were up 20% since the previous month and 7% in the last year. The Russell 2000 index option volume soared 226% since last year. ISE’s total volume in index options was up 30.3%, but the exchange traded only 6.9% of total index volume. CBOE’s combined index and ETF market share was 33.7% in June. The ISE combines ETF volume with equity volume, in which it generally holds the top market share in the industry. Equity options volume slightly lagged CBOE’s last month, with 28.46% market share versus CBOE’s 29.56%, according to OIC data.

The Philadelphia Stock Exchange held steady in third place, losing a bit to the fully electronic Nasdaq Options Market and the Boston Options Exchange. Phlx executed 15.36% of all options orders, down from 16.57% in May. NYSE Arca also slid slightly to 11.48% of total volume, down from 11.5% in May. The American Stock Exchange was down as well after a recovery in May, executing 6.13% market share. It executed 6.25% of total options volume in May. The BOX followed with 5.44% of total volume, up from 4.77% in May. This is the second time this year the BOX broke the 5% market share mark, thanks to new business coming in from high-frequency traders. Fledgling NOM finished with 0.83% of total order flow, up from 0.66% in May.

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