Only a few years ago, Euronext derivatives appeared a sleepy exchange – unable to deal with a new contender. Things have changed. TOM, aka the Order Machine, is in vulnerable position. It is up for sale as the owners can’t decide on the strategy. Euronext moved forward to spoil the sale of TOM. In anRead more
A lot of words were used to describe the manipulation in the option market on TOM. This market structure issue is a piece-of-cake for insiders. However, normal people can find it hard to grasp. Luckily, we have more colour. The manipulation continued on Monday morning. It was easy to detect. In short, the kid manipulated theRead more
The ETF options in the USA are soaring. While this sounds like a soundbite from ten years ago, it still holds. The volumes in ETF options have doubled in the last five years. The option volume in the SPY (S&P 500 ETF) is massive. It accounts for nearly half of the total US options volume.Read more
Until a decade ago, it was common for market makers to accumulate massive open interest in call options before dividend. The boosted open interest in in-the-money calls was usually created against related entities under the same holding. The idea was to take advantage of retail investors neglecting to early exercise their in-the-money calls before dividend. Having aRead more
The alternative option exchange TOM has released a fresh research report. The option prices across the three exchanges with options on Dutch stocks are compared. The best bids and offers in the market on Eurex, Euronext and TOM are compared for December 2015. TOM hired reputable market research company Markit to do the job. Good decision,Read more
