Options Industry Council

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The Options Industry Council
OIC blue.jpg
Founded 1992
Headquarters Chicago
Products Options education
Key People Mary Savoie, Executive Director
Twitter ID @Options_Edu
Web site www.optionseducation.org/

The Options Industry Council (OIC) is an industry cooperative funded by Options Clearing Corporation (OCC), the world’s largest equity derivatives clearing organization and sole central clearinghouse for U.S. listed options, and the U.S. options exchanges. Formed in 1992 by the Options Clearing Corporation (OCC) and five exchanges, today the OIC is supported by BATS Options, Boston Options Exchange, C2 Options Exchange, the Chicago Board Options Exchange, EDGX Exchange Incorporated, the International Securities Exchange, ISE Gemini, ISE Mercury, MIAX Options Exchange, NASDAQ OMX BX Options, NASDAQ OMX PHLX, NASDAQ Options Market, NYSE Arca Options and NYSE MKT LLC. OIC’s mission is to provide free and unbiased education to investors and financial advisors about the benefits and risks of exchange-traded equity options. Our goal is to provide a financially sound and efficient marketplace where investors can hedge investment risk and find new opportunities to profit from market participation. Managed by OCC, OIC delivers its education through the Options Education Program, a structured platform offering live seminars, self-directed online courses, mobile tools, podcasts, webinars and live help. OIC’s resources can be accessed online at OptionsEducation.org or via mobile app for iOS.

To achieve the goal of being the leading provider of online education in the listed options industry, the OIC hosts webinars, videos, podcasts, literature and provides support to investors on its website [1]. OIC’s free educational webinars and seminars are taught by knowledgeable and experienced exchange and market professionals.


History

By the early ‘90s, the listed options market had grown from 16 underlying stocks traded in the old smoker’s lounge at the Chicago Board of Trade (the first location of the CBOE), to an industry of multiple exchanges that allowed for the trading of puts, options with longer term expiries and options on indexes. The industry recognized that to facilitate continued growth of a complex financial instrument like options, the creation of an institution focused on education was needed.

In 1992, the OCC, American Stock Exchange (AMEX), Chicago Board Options Exchange (CBOE), New York Stock Exchange (NYSE), Pacific Stock Exchange (PSE) and Philadelphia Stock Exchange (PHLX) formed the OIC.

By 1993 the OIC had expanded its reach to 50 North American Cities and more than 3,000 investors and brokers attend its seminars. Their first website was created in 1996. The OIC furthered its reach by expanding to on-demand videos and podcasts in 2006 and webinars in 2013.

The year the OIC was created, the OCC reported annual volume of 201,995,757 contracts. In 2015, the OCC reported an annual volume of 4,210,542,258 contracts.[2] The continued growth of the industry and the designation of the OCC as a systemically important financial market utility (SIFMU), in 2012, are pushing the OIC the expand it's educational efforts to an increasing number of investors interested in the flexibility of options as an investment tool.

Education

OIC conducts hundreds of seminars and videos throughout the year, distributes thousands of interactive CDs and brochures, and maintains its options education website. Options industry professionals create all the content in OIC's software, brochures and website. OIC also maintains a staff of compliance and legal professionals.

A downloadable e-Reader version of the options book An Investor’s Guide to Trading Options is available on OIC’s website, OptionsEducation.org

Options Education Program

OIC offers its Options Education Program (OEP) which brings its full range of educational offerings and networks of leading industry professionals to offer investors the educational platform possible to learn about options for free. The OEP aims to provide education on the responsible use of options to a global audience of investors. The program has four main educational goals: customized education, comprehensive courses, in-person learning and live options help. OEP offers the MyPath assessment tool, which allows investors to test their level of options knowledge for a personalized learning track. Later on users will advance through a customized curriculum filled with online courses, podcasts and videos ranging from basic to advanced options topics. Students of the program can also learn about options in-person by attending live seminars and events hosted by experienced options instructors.[3] A video overview of the OEP can be found here

Seminars

Seminars focusing on basic, intermediate, and advanced options topics such as volatility are offered at select locations across the U.S. Additional intermediate and volatility seminars have been added for investors seeking advanced education.[4] For those who are not able to make the physical seminars, there are additional webinars that can be accessed worldwide.

Online Classes

OIC offers online classes for all skill levels on subjects including the basics of options trade, pricing and strategies.[5] Access the OIC's course catalog here.

Educational Videos

OIC offers dozens of podcasts accessible at the viewers' convenience.[6] The company also provides a glossary and quick concepts Youtube series to further educate current and potential options traders. The OIC's Youtube channel can be found here.

Podcasts/Radio Show

OIC offers educational podcasts covering a wide variety of topics, from options basics and terminology to more advanced concepts. These podcast can be found here or in iTunes.

OIC's Wide World of Options radio show features a dynamic mix of current events, investor resources, strategy insights and interviews with a variety of options professionals throughout the industry. Past episodes can be found here.

Investor Services

OIC's Investor Services is available for options-related questions that do not focus on trading/investing advice but rather on options education. The company can be contacted via e-mail at: options@theocc.com.

Virtual Trading System

In November of 2007, the OIC introduced the Virtual Trading System (VTS) to its online educational offerings.[7] The system is designed to provide investors with the most realistic trading environment possible as they practice executing various options strategies.

OIC’s VTS screens allow investors to experience a realistic trading situation for trading stocks and options, using strategies such as spreads, straddles and covered calls, while also investigating different order types like triggers and one-cancels-other. The system also offers stock and options quote detail screens where users can obtain quotes from any screen through the integrated quote window. Once free registration with the OIC is completed, investors are given $25,000 in virtual funds to practice executing trades and trading strategies.

Options Calculators

Among the OIC's tools for investors are a number of calculators: a theoretical options calculator (personalize an underlying instrument and see how much the option would cost), a collar calculator (for determining hypothetical outcomes of a given collar strategy), covered call calculator (same as the collar calculator but for a different strategy) and a position simulator (using sample data see the effects of varying strategies in a simulated market).

Volatility Archives

The OIC's website offers a repository of historical and implied volatility for a range of indexes and stocks.

Senior Executives

Roundtable

The OIC's independent governing body, or Roundtable, is comprised of exchange and broker representatives.

  • Arianne Criqui, Vice President, Goldman Sachs Electronic Trading
  • John Denza, Director, U.S. Sales, BATS Global Markets
  • Thomas Kennelly, Lead-Trading Operations, MIAX Options
  • Lauren Latuso, Director of Marketing and Events Manager, ISE
  • Barry Nobel, Associate Vice President, NASDAQ OMX, U.S. Options & Futures
  • Nick Otte, Senior Derivative and Market Structure Analyst for Trading Services, Scottrade, Inc.
  • Debra Peters, Vice President, The Options Institute, CBOE
  • Pamela Quintero, Director and Head of Digital & Content Marketing, CBOE
  • Bill Ryan, Managing Director, NYSE Amex Options
  • Patty Schuler, Vice President, Sales & Marketing, BOX Options Exchange
  • Gary Semeraro, Director, UBS Wealth Management

Instructors

  • Roma Colwell-Steinke, Senior Administrator of Educational Programs, The Options Institute at CBOE
  • Peter B. Lusk, Instructor, CBOE Options Institute
  • Russell Rhoads, Instructor, CBOE Options Institute
  • Bill Ryan, Managing Director, NYSE Amex Options


John Lothian News Interviews

References

  1. About The Options Industry Council. Options Industry Council.
  2. OCC Historical Volume Query. OCC.
  3. OIC Introduces the Industry's Premiere Options Education Program. OIC.
  4. Seminars And Events Registration. OIC.
  5. Online Classes. OIC.
  6. OIC Audio & Video Podcasting. OIC.
  7. "The Options Industry Council Adds Virtual Trading to Its Portfolio of Educational Tools”. OIC.