CBOE First-Half 2010 ADV Up 7 Percent

CHICAGO, July 1 /PRNewswire/ -- The Chicago Board Options Exchange (CBOE) today reported that average daily volume (ADV) year to date through June 2010 was 4.9 million contracts, up seven percent from 4.6 million contracts for the same period in 2009.  During the first six months of 2010, 610.7 million contracts changed hands at CBOE – up seven percent from the same period a year ago when 570.0 million contracts traded.

(Logo:  http://photos.prnewswire.com/prnh/20100614/CG20953LOGO)

(Logo:  http://www.newscom.com/cgi-bin/prnh/20100614/CG20953LOGO)

Trading volume in June 2010 totaled 90.7 million contracts, down two percent from 92.5 million contracts traded in June 2009 and a decline of 31 percent from May 2010 when CBOE recorded its second-highest monthly trading volume ever – 131.3 million contracts.

CBOE monthly comparisons – June 2010 ADV of 4.1 million contracts was a two-percent decline from June 2009 ADV and a 37-percent decrease from record CBOE ADV in May 2010.

Monthly product comparisons – ADV for index options and options on exchange traded funds (ETFs) rose 24 percent and 16 percent, respectively, from ADV in June 2009. ADV in equity options declined 19 percent from the same period. Compared against May 2010, index, ETF and equity options ADV in June 2010 decreased 39 percent, 41 percent and 34 percent, respectively.

Expanded June volume information for index and ETF options is available at: www.cboe.com/data/monthlyvolume.aspx.

CBOE Overall Market Share:

CBOE's market share of total U.S. options industry volume year to date through June was 30.5 percent, a 0.9-percentage-point decline from the same period one year ago. June 2010 CBOE market share – 29.3 percent -- was unchanged from June 2009 and was off 3.1 percentage points from May 2010.

• CBOE June market share by product:
  • Index options - CBOE's market share was 93.6 percent, up 2.7 percentage points from June 2009 and down 0.3 of a percentage point from May 2010.
  • ETF options - CBOE's market share was 23.1 percent, up 0.7 of a percentage point from June 2009 and down 2.6 percentage points from May 2010.
  • Equity options - CBOE's market share was 24.5 percent, down 2.1 percentage points from June 2009 and down 2.6 percentage points from May 2010.

Average Transaction Fee per Contract:

Going forward, CBOE intends to report its average transaction fee per contract by product, on a three-month rolling average, lagged by one month, as part of its monthly volume news release.  Due to the company's post-IPO quiet period, the average transaction fee per contract for May 2010 back through December 2008 will not be provided until July 12, 2010.This information will be posted to the investor relations section of CBOE's web site under Financial Information, Supplemental Information. Data that relates to average transaction fees for a quarterly reporting period will be provided in conjunction with the company's quarterly earnings news release.

June Highlights:

• At CBOE Futures Exchange (CFE):
  • Through the first half of 2010, CFE's trading volume of 1,666,322 contracts has already surpassed 2009's total annual trading volume of 1,155,318 contracts. Year-to-date ADV through June was 13,438 contracts, versus 2,440 contracts per day during the same period in 2009.
  • Trading volume for June totaled 261,441 contracts, an increase over the 66,254 contracts traded in June 2009.  June ADV of 11,883 contracts exceeded the year-ago ADV of 3,012 contracts.  
• At CBOE Stock Exchange (CBSX):
  • Through the first six months of 2010, CBSX trading volume totaled more than 1.81 billion shares, down 21 percent from the same period in 2009 when 2.29 billion shares changed hands.
  • In June, 309.9 million shares traded, down 15 percent from June 2009 volume of 366.7 million shares and down 14 percent from May 2010 volume of 360.0 million shares.
• CBOE announced that as of Thursday, July 1, all new Weekly options series listed at CBOE would begin trading on Thursdays and expire the following Friday. Prior to this change, new series were listed on Fridays. The additional day expands market participants' ability to roll trades from one Weekly expiration to the next Weekly expiration.  CBOE also added new Weekly options on several exchange traded funds (ETFs) and individual equities during the month.  For an up-to-date list of Weeklys offered by CBOE and contract specifications, see www.cboe.com/weeklys.
• The top five most actively traded index and ETF options at CBOE were the S&P 500 Index (SPX), Standard and Poor's Depositary Receipts (SPY), CBOE Volatility Index (VIX), PowerShares QQQ Trust (QQQQ), and iShares Russell 2000 Index Fund (IWM).
• The top five most actively traded equity options at CBOE were Citigroup (C), BP, plc (BP), Apple (AAPL), Bank of America (BAC), and JPMorgan Chase (JPM).

Chicago Board Options Exchange (CBOE), the largest U.S. options exchange and creator of listed options, continues to set the bar for options trading through product innovation, trading technology and investor education. CBOE offers equity, index and ETF options, including proprietary products, such as S&P 500 options (SPX), the most active U.S. index option, and options on the CBOE Volatility Index (VIX). Other products engineered by CBOE include equity options, security index options, LEAPS options, FLEX options, and benchmark products such as the CBOE S&P 500 BuyWrite Index (BXM). CBOE's Hybrid Trading System incorporates electronic and open-outcry trading, enabling customers to choose their trading method.  CBOE's Hybrid is powered by CBOEdirect, a proprietary, state-of-the-art electronic platform that also supports the CBOE Futures Exchange (CFE), CBOE Stock Exchange (CBSX) and OneChicago. CBOE is home to the world-renowned Options Institute and www.cboe.com, named "Best of the Web" for options information and education.

CBOE is regulated by the Securities and Exchange Commission (SEC), with all trades cleared by the AAA-rated Options Clearing Corporation (OCC).

CBOE®, Chicago Board Options Exchange®, CBOEdirect®, CBOE Volatility Index®, VIX®, FLEX®,, Hybrid®, LEAPS®, CBSX® and CBOE Stock Exchange® are registered trademarks of Chicago Board Options Exchange, Incorporated (CBOE).   SPX(SM), BXM(SM) and The Options Institute(SM)  and Weeklys(SM) are service marks of CBOE.  CFE® is a registered trademark and CBOE Futures Exchange(SM) is a service mark of CBOE Futures Exchange, LLC.   All other trademarks and servicemarks are the property of their respective owners.

This press release contains statements which may be considered forward-looking statements within the meaning of the Securities Exchange Act of 1934, including, without limitation, statements regarding operating strategies, future plans and financial results. Forward-looking statements may be accompanied by words such as "anticipate", "believe", "could", "estimate", "expect", "forecast", "intend", "may", "possible", "predict", "project" or similar words, phrases or expressions. The Company does not undertake any obligation to update the information contained herein, which speaks only as of the date of this press release.  More detailed information about factors that may affect our performance may be found in our filings with the Securities and Exchange Commission, including our Quarterly Report on Form 10-Q for the quarter ended March 31, 2010 under the heading "Forward-Looking Statements" and/or "Risk Factors". Such discussions regarding risk factors and forward-looking statements are incorporated herein by reference.

SOURCE Chicago Board Options Exchange