CBOE Reports Record Trading Volume and Margins in Q3
- The results were driven by increased market volatility and the unique product mix which increased demand in the quarter
The Chicago Board Options Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (NASDAQ:CBOE) reported a 6 percent increase in trading volumes for the third quarter of the year, a record-high 335.7 million trades, at an average daily rate of 5.25 million trades, also up 6 percent on the year, the company said in a statement.
Double-Digit Increase
Total operating revenues added 26 percent to reach $187 million, from $148.9 million a year earlier. Operating profit stood at $101.1 million, up 35 percent from the $75.1 million booked for the third quarter of 2014, and net profit totaled $67.5 million, up 39 percent from $48.4 million. Adjusted net profit attributable to shareholders stood at $67.2 million, a 40 percent improvement on the year.
The operating margin reached a record-high of 54.1% in the reporting period, a 370-basis-point increase from the third quarter of 2014.
Proprietary products drove growth
CBOE said in its statement that it attributed the strong results to its proprietary products, including S&P 500 Index options, Russell 2000 Index options, and CBOE Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term Index options. The company added that it had continued to work on developing more new products for its clients during the three months as well as expanding its customer base and making their access to its marketplace easier.
Chief Executive Officer (CEO) Edward T. Tilly said: “As a result, we remain optimistic about our ability to deliver sustainable long-term value to our customers and our shareholders.”
The exchange will distribute a quarterly dividend of $0.23 starting December 18. The ex-dividend date is December 5.
The Chicago Board Options Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (NASDAQ:CBOE) reported a 6 percent increase in trading volumes for the third quarter of the year, a record-high 335.7 million trades, at an average daily rate of 5.25 million trades, also up 6 percent on the year, the company said in a statement.
Double-Digit Increase
Total operating revenues added 26 percent to reach $187 million, from $148.9 million a year earlier. Operating profit stood at $101.1 million, up 35 percent from the $75.1 million booked for the third quarter of 2014, and net profit totaled $67.5 million, up 39 percent from $48.4 million. Adjusted net profit attributable to shareholders stood at $67.2 million, a 40 percent improvement on the year.
The operating margin reached a record-high of 54.1% in the reporting period, a 370-basis-point increase from the third quarter of 2014.
Proprietary products drove growth
CBOE said in its statement that it attributed the strong results to its proprietary products, including S&P 500 Index options, Russell 2000 Index options, and CBOE Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term Index options. The company added that it had continued to work on developing more new products for its clients during the three months as well as expanding its customer base and making their access to its marketplace easier.
Chief Executive Officer (CEO) Edward T. Tilly said: “As a result, we remain optimistic about our ability to deliver sustainable long-term value to our customers and our shareholders.”
The exchange will distribute a quarterly dividend of $0.23 starting December 18. The ex-dividend date is December 5.