MIAX Options Exchange

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MIAX Options Exchange
Miax options logo-resize-380x300.jpg
Founded 2012
Headquarters Princeton, NJ
Key People Thomas P. Gallagher, Chairman and CEO
Employees 75
Products Equity Derivatives Exchange
LinkedIn International Holdings Profile
Website http://www.miaxoptions.com
Releases Company News

The MIAX Options Exchange is a U.S. equity derivatives market. It received regulatory approval on Dec. 3, 2012 and began operations on Dec. 7, 2012.[1] MIAX is owned by Miami International Holdings, Inc., based in Princeton, New Jersey[2] and acts as its own self-regulatory organization.

The national operations center for MIAX is also in Princeton, and additional executive offices, as well as a multi-purpose training, meeting and conference center are located in a facility in Miami, Florida.

Through August 2013 MIAX had captured .68% of the exchange traded equity options volume in 2013. By July 2016, MIAX had captured 7.49% of equity options marketshare.

In October 2013 MIAX agreed to sell a stake in itself to six of its largest members. The deal gave Bank of America Merrill Lynch, Morgan Stanley, Wolverine Trading, Interactive Brokers, Susquehanna International Group, Timber Hill, and KCG Americas the right to purchase up to 19.9 percent each of MIAX's parent company Miami International Holdings over a two-year period in exchange for payment of an initial purchase price or the prepayment of certain transaction fees and the achievement of a certain volume of liquidity on the Exchange.[3]

That deal - the "2013 Equity Rights Program" - closed on Sept. 30, 2013 and ran through July 2015.

On February 2, 2015, the MIAX Options Exchange (MIAX) closed its second equity rights transaction, the 2015 Equity Rights Program. The members involved were Citadel Securities, KCG Americas, Morgan Stanley, Optiver US, Susquehanna Securities, Timber Hill, and Wolverine Trading. That program runs through June 2017.[4]

The deal allowed those members to buy more stock in Miami International Holdings if they increased the amount of trading on the exchange.[5]

The fourth quarter of 2016 saw the release of complex order functionality on MIAX.[6]

MIAX Options launched its second options exchange, MIAX Pearl, on February 6, 2017, as the 15th US options exchange.[7] MIAX Pearl will offer a maker-taker pricing model, whereas the original MIAX options exchange offers a pro-rata pricing model.[8] [9]

Contract Volume

Year Total Annual Volume* Percent Change
2016 247,112,479 (-)2.2%
2015 252,605,427 87.8%
2014 134,535,972 241.2%
2013 39,430,903 --


John Lothian News Interview with MIAX

Sun rises on Miami Options Exchange:

Shelly Brown and Doug Schafer talk about the new Miami Options Exchange

The much anticipated MIAX Options Exchange launched December 7, 2013, making it the 11th options exchange in the United States. Jim Kharouf, editor-in-chief of John Lothian News, spoke with Shelly Brown, senior vice president, strategic planning and operations with MIAX Options, and Doug Schafer, executive vice president, chief information officer and director of the exchange at the Options Industry Conference in Las Vegas. They say MIAX’s 72-person team has two things that differentiate it from the pack - speed and a regulator approval-pending order function that’s designed to tighten quotes and reward market makers for tighter quoting. They also touched on its next two exchanges that will be based in Miami, with a Latin American view.

Click here to read the whole article: http://jlne.ws/1ztuzD1

Key People

References

  1. Press Release. PR Newswire.
  2. Miami Options Exchange Gets SEC Approval, Will Start Dec. 7. Bloomberg.
  3. MIAX Trades Ownership Stake for Order Flow in Deal with Six Big Members. Traders Magazine.
  4. MIAX Equity Rights Program. MIAX.
  5. MIAX Options Exchange Closes Equity Rights Deal With Seven Firms. The Wall Street Journal.
  6. Miami International Holdings Files for Second Exchange License to Launch MIAX PEARL; Closes $30 Million Debt Financing. PR Newswire.
  7. OCC Welcomes MIAS PEARL Options Exchange. OCC.
  8. MIAX PEARL Successfully Launches Trading Operations. MIAX.
  9. Room For One: MIAX Due To Open 15th US Options Exchange. John Lothian News.