Market Overview

Cboe Global Markets Reports March 2020 Trading Volume

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CHICAGO, April 3, 2020 /PRNewswire/ -- Cboe Global Markets, Inc. (Cboe: CBOE), one of the world's largest exchange holding companies, today reported March monthly trading volume.

The data sheet "Cboe Global Markets Monthly Volume & RPC/Net Revenue Capture Report" contains an overview of March and year-to-date trading statistics and market share by business segment, volume in select index products, and RPC, which is reported on a one-month lag, across business lines.

MONTHLY TRADING VOLUME

Year-To-Date


March

March

%

February

%

March

March

%

2020

2019

Chg

2020

Chg

2020

2019

Chg

OPTIONS (contracts, thousands)

Year-To-Date

Trading Days

22

21


19


62

61


Total Volume 

263,373

148,748

77.1%

209,552

25.7%

665,343

430,838

54.4%

Total ADV 

11,971

7,083

69.0%

11,029

8.5%

10,731

7,063

51.9%

FUTURES (contracts, thousands)

Year-To-Date

Trading Days

22

21


19


62

61


Total Volume

7,545

5,338

41.3%

7,182

5.1%

20,514

14,112

45.4%

Total ADV 

343

254

34.9%

378

-9.3%

331

231

43.0%

U.S. EQUITIES (shares, millions)

Year-To-Date

Trading Days

22

21


19


62

61


Total Volume

59,421

24,781

139.8%

28,464

108.8%

113,805

73,516

54.8%

Total ADV

2,701

1,180

128.9%

1,498

80.3%

1,836

1,205

52.3%

EUROPEAN EQUITIES (€ millions)

Year-To-Date

Trading Days

22

21


20


64

63


Total Notional Value

€ 259,065

€ 191,498

35.3%

€ 173,999

48.9%

€ 581,890

€ 580,817

0.2%

Total ADNV

€ 11,776

€ 9,119

29.1%

€ 8,700

35.4%

€ 9,092

€ 9,219

-1.4%

GLOBAL FX ($ millions)

Year-To-Date

Trading Days

22

21


20


64

63


Total Notional Value

$1,209,632

$809,512

49.4%

$825,067

46.6%

$2,773,720

$2,299,044

20.6%

Total ADNV

$54,983

$38,548

42.6%

$41,253

33.3%

$43,339

$36,493

18.8%

ADV= average daily volume
ADNV= average daily notional value

March 2020 Volume Highlights
Options

  • Cboe Global Markets' four options exchanges (C1, C2, BZX and EDGX) combined set a new all-time monthly average daily volume (ADV) record with nearly 12 million contracts traded per day.
  • The four options exchanges had the highest combined single-day volume of all-time on Thursday, March 12, with more than 16.7 million contracts traded.
  • C1 Options Exchange set a new monthly total volume record with more than 148 million contracts traded.
  • BZX Options Exchange set a new all-time monthly ADV record with more than 3.5 million contracts traded. The exchange also saw its highest single-day volume of all-time on Thursday, March 12, with more than 5.3 million contracts traded.
  • EDGX Options Exchange set a new all-time monthly ADV record with more than 1 million contracts traded.
  • S&P 500 Index (SPX) options set a new all-time monthly total volume record with more than 43.4 million contracts traded. ADV was up 62 percent over March 2019.
  • ADV in options on the Cboe Volatility Index (VIX) during March was 1.18 million contracts, up 112 percent over the 556,214 contracts traded per day in March 2019.

Futures

  • ADV in futures on the VIX at Cboe Futures Exchange (CFE) during March was 342,162 contracts, up 36 percent over the 252,129 contracts traded per day in March 2019.

U.S. Equities

  • Cboe Global Markets' four U.S. equities exchanges (BZX, BYX, EDGX and EDGA) saw nearly 2.7 billion shares traded per day in March, up 129 percent over the 1.18 billion shares in March 2019.

European Equities

  • Cboe LIS, Cboe Europe's block trading platform, reported record average daily notional value (ADNV) traded of €571 million in March, up 112 percent over the €269 million ADNV traded in March 2019.
  • Cboe Periodic Auctions reported record ADNV traded of €1.7 billion in March, up 131 percent over the €726 million ADNV traded in March 2019.

Global FX

  • Global FX set a new all-time monthly record with nearly $55 billion in notional value (ADNV).
  • Full Amount ADNV reached a new all-time monthly high with $12 billion in notional value.

First-Quarter 2020 RPC/Net Revenue Capture Guidance
Options
The company currently expects RPC for total options for the first quarter of 2020 to be 6.0 to 7.0 percent higher than the amounts noted below for the two months ended February 29, 2020, primarily reflecting a higher percentage of volume from index options in March compared to the two-month average. The RPC for multi-listed options for the first quarter is expected to be 1.5 to 2.5 percent above the two-month average, due in part to a mix shift, with ETFs accounting for a higher percentage of total volume. The RPC for index options is expected to be 1.5 to 2.5 percent above the two-month average noted below, reflecting a mix shift by order execution and type, as well as the impact of a fee increase for SPX options implemented on February 2.

Futures
The RPC for futures in the first quarter of 2020 is expected to be 0.5 to 1.5 percent above the two-month average noted below, reflecting lower volume-related rebates in March.

U.S. Equities
The revenue capture for U.S. Equities for the first quarter of 2020 is expected to be 7.0 to 8.0 percent above the two-month average noted below, reflecting a mix shift in volume.

European Equities
The revenue capture for European Equities for the first quarter of 2020 is expected to be 5.5 to 6.5 percent below the two-month average noted below, reflecting the net impact of volume-based tiers on March's higher volume. 

Global FX
The revenue capture for Global FX for the first quarter of 2020 is expected to be 1.0 to 2.0 percent below the two-month average noted below, reflecting the impact of higher volumes in March. 

These expectations are estimated, preliminary and may change. There can be no assurance that our final RPC for the three months ended March 31, 2020, will not differ materially from these expectations.

The following represents average RPC and met revenue capture based on a two-month and a three-month rolling average, reported on a one-month lag. The average RPC represents total transaction fees for C1, C2, BZX and EDGX Options Exchanges and CFE recognized for the period divided by total contracts traded during the period. For U.S. Equities, "net capture per 100 touched shares" refers to annual transaction fees less liquidity payments and routing and clearing costs divided by the product of one-hundredth ADV of touched shares on BZX, BYX, EDGX and EDGA and the number of trading days. For European Equities, "net capture per matched notional value" refers to transaction fees less liquidity payments in British pounds divided by the product of ADNV in British pounds of shares matched on Cboe Europe Equities and the number of trading days. For Global FX, "net capture per one million dollars traded" refers to transaction fees less liquidity payments, if any, divided by the product of one-thousandth of ADNV traded on the Cboe FX Markets and the number of trading days, divided by two, which represents the buyer and seller that are both charged on the transaction. Average transaction fees per contract can be affected by various factors, including exchange fee rates, volume-based discounts and transaction mix by contract type and product type.

(In Dollars unless stated otherwise)

Two-
Months
Ended

1Q20 Guidance

vs.

Two-month Avg

Three-Months Ended

Product:

Feb-20


Feb-20

Jan-20

Dec-19

Nov-19

Multi-Listed Options (per contract)

$0.053

1.5 to 2.5% above

$0.053

$0.051

$0.055

$0.055

Index Options (per contract)

$0.764

1.5 to 2.5% above

$0.764

$0.758

$0.766

$0.765

     Total Options (per contract)

$0.219

6.0 to 7.0% above

$0.221

$0.215

$0.225

$0.224

Futures (per contract)

$1.731

0.5 to 1.5% above

$1.747

$1.779

$1.794

$1.788

U.S. Equities (per 100 touched notional value)

$0.024

7.0 to 8.0% above

$0.026

$0.025

$0.023

$0.020

European Equities (per matched notional value, bps)

0.255

5.5 to 6.5% below

0.255

0.256

0.248

0.243

Global FX (per one million dollars traded)

$2.72

1.0 to 2.0% below

$2.741

$2.787

$2.803

$2.818

About Cboe Global Markets, Inc.

Cboe Global Markets (Cboe: CBOE) is one of the world's largest exchange holding companies, offering cutting-edge trading and investment solutions to investors around the world. The company is committed to defining markets to benefit its participants and drive the global marketplace forward through product innovation, leading edge technology and seamless trading solutions.

The company offers trading across a diverse range of products in multiple asset classes and geographies, including options, futures, U.S. and European equities, exchange-traded products (ETPs), global foreign exchange (FX) and volatility products based on the Cboe Volatility Index (VIX Index), recognized as the world's premier gauge of U.S. equity market volatility.

Cboe's subsidiaries include the largest options exchange and the third largest stock exchange operator in the U.S. In addition, the company operates one of the largest stock exchanges by value traded in Europe and is a leading market globally for ETP listings and trading.    

The company is headquartered in Chicago with a network of domestic and global offices across the Americas, Europe and Asia, including main hubs in New York, London, Kansas City and Amsterdam. For more information, visit www.cboe.com.

Media Contacts


Analyst Contact





Angela Tu

Stacie Fleming


Debbie Koopman

+1-646-856-8734

+44-20-7012-8950


+1-312-786-7136

atu@cboe.com

sfleming@cboe.com


dkoopman@cboe.com


CBOE-V

BZX®, Cboe®, Cboe Global Markets®, Cboe Volatility Index®, CFE®, EDGX®, and VIX® are registered trademarks of Cboe Exchange, Inc. or its affiliates. S&P 500® and SPX® are registered trademarks of Standard & Poor's Financial Services, LLC and has been licensed for use by Cboe Exchange, Inc.  Any products that have the S&P Index or Indexes as their underlying interest are not sponsored, endorsed, sold or promoted by Standard & Poor's or Cboe and neither Standard & Poor's nor Cboe make any representations or recommendations concerning the advisability of investing in products that have S&P indexes as their underlying interests. All other trademarks and service marks are the property of their respective owners.

Cautionary Statements Regarding Forward-Looking Information
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. You can identify these statements by forward-looking words such as "may," "might," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential" or "continue," and the negative of these terms and other comparable terminology. All statements that reflect our expectations, assumptions or projections about the future other than statements of historical fact are forward-looking statements. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance based on our growth strategies and anticipated trends in our business. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by the forward-looking statements.

We operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible to predict all risks and uncertainties, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.

Some factors that could cause actual results to differ include: changes to trading behavior due to the temporary suspension of open outcry trading in response to the novel coronavirus (COVID-19); the loss of our right to exclusively list and trade certain index options and futures products; economic, political and market conditions; compliance with legal and regulatory obligations; price competition and consolidation in our industry; decreases in trading volumes, market data fees or a shift in the mix of products traded on our exchanges; legislative or regulatory changes; our ability to protect our systems and communication networks from security risks, cybersecurity risks, insider threats and unauthorized disclosure of confidential information; increasing competition by foreign and domestic entities; our dependence on and exposure to risk from third parties; fluctuations to currency exchange rates; our index providers' ability to maintain the quality and integrity of their indexes and to perform under our agreements; our ability to operate our business without violating the intellectual property rights of others and the costs associated with protecting our intellectual property rights; our ability to attract and retain skilled management and other personnel; our ability to accommodate trading volume and transaction traffic, including significant increases, without failure or degradation of performance of our systems; misconduct by those who use our markets or our products; challenges to our use of open source software code; our ability to meet our compliance obligations, including managing potential conflicts between our regulatory responsibilities and our for-profit status; damage to our reputation; the ability of our compliance and risk management methods to effectively monitor and manage our risks; our ability to manage our growth and strategic acquisitions or alliances effectively; restrictions imposed by our debt obligations; our ability to maintain an investment grade credit rating; impairment of our goodwill, long-lived assets, investments or intangible assets; and the accuracy of our estimates and expectations. More detailed information about factors that may affect our actual results to differ may be found in our filings with the SEC, including in our Annual Report on Form 10-K for the year ended December 31, 2019 and other filings made from time to time with the SEC.

We do not undertake, and we expressly disclaim, any duty to update any forward-looking statement whether as a result of new information, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.

 

Cision View original content to download multimedia:http://www.prnewswire.com/news-releases/cboe-global-markets-reports-march-2020-trading-volume-301035022.html

SOURCE Cboe Global Markets, Inc.

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