VIX Fear Gauge’s Only Competitor Set to Vanish From the Market

  • 📰 BNNBloomberg
  • ⏱ Reading Time:
  • 56 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 50%

Business Business Headlines News

Business Business Latest News,Business Business Headlines

The financial market’s biggest and most prominent measure of fear could soon see its only competitor disappear.

After a federal judge last month sided with Cboe Global Markets Inc., trading in Spikes futures is set to stop in November. The product, offered by a unit of the Miami International Holdings Inc., also known as MIAX, is the only competitor to the Chicago exchange’s Volatility Index.

Citadel Securities is among firms urging a path forward that ensures that Spikes futures can continue to trade, citing the benefits of increased competition and investor choice, according to people with knowledge of the firm’s thinking.Cboe started its VIX futures, a popular measure of expectations for volatility in the stock market, in the early 2000s. The product, widely known as the fear index, reigned solo until about four years ago, when a unit of MIAX decided to launch Spikes.

“They can correct any of the perceived deficiencies identified by the court to ensure the playing field remains even and level,” said Springer Harris, a portfolio manager at Teucrium. “We risk returning to a monopolized market, which could inadvertently limit choices which could increase costs.” “We firmly believe that Spikes futures provide the industry with a competitive choice for trading volatility that fosters innovation, lowers costs to retail and institutional investors, and mitigates single point-of-failure concerns for trading volatility products,” MIAX spokesman Andy Nybo said in a statement.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 83. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock futures mixed ahead of key PCE inflation data: Stock market news todayDow futures rose 120 points, buoyed by Salesforce gains, amid muted trading on the other gauges with the Fed's preferred inflation data on deck.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Goldman Drums Up IPO Renaissance Hopes in Deals-Starved MarketA smattering of companies set to test the market for stock listings is igniting hopes across Wall Street.
Source: BNNBloomberg - 🏆 83. / 50 Read more »