08.03.2017

BOX Gets Floored

08.03.2017

The Boston Options Exchange is returning to the thrilling days of yesteryear will its planned launch of an open-outcry trading floor in Chicago, which the US Securities and Exchange Commissioned approved on August 2.

The options exchange operator expects to locate the new trading floor in space it has leased in the Chicago Board of Trade complex and open it for trading later this month.

BOX traders already have had a taste of what is in store for them in the new trading environment as BOX held a three-hour trading simulation on July 22.

“In the financial markets, isn’t it very cyclical?” said Tom Lehrkinder, a former trading pit clerk and senior analyst at Tabb Group, told the Financial Times. “We went from open-outcry, to everybody running to electronic and speed and now back to open-outcry, in this instance.”

Although electronic trading has made manual trading obsolete for all but the most illiquid trades, BOX officials state that by offering manual trading it would entice more traders and investors to participate more in the larger and more complex trades that happen on the exchange.

“We welcome this opportunity to bring additional competition to the options market, which we believe will spur further modernisation of open-outcry trading,” Lisa Fall, president of BOX, told the Financial Times.

Related articles

  1. Minneapolis Hard Red Spring Wheat Futures are trading on the new platform.

  2. The potential offer would value Hellenic Exchanges-Athens Stock Exchange at €399m.

  3. BrokerTec expands in Europe
    From The Markets

    Aquis Becomes a SIX Company

    SIX will offer one connection providing access to Switzerland, Spain & UK.

  4. FX Forwards Move Toward Clearing Mandate
    From The Markets

    CME to Launch FX Tape+

    The tape is based solely on actionable, firm liquidity from CME's FX spot and futures markets.

  5. A record $102.5bn was executed in the Closing Cross in 0.871 seconds.