Our perspectives

Insights

Latest insight

A VIX for APAC:
Building a regional volatility benchmark

latest insight

CSDR: promising signs from the new settlement discipline regime

Latest insight

Directed market makers:
another path to internalization?

Latest insight

An illustrated guide to price controls on US exchanges

Latest

Market structure

  • Market structure

    A VIX for APAC: Building a regional volatility benchmark

    Despite the growing popularity of Asia-Pacific markets, investors in the region lack a volatility benchmark on par with the Cboe Volatility Index or the Euro Stoxx 50 Volatility Index. We believe the Nikkei Stock Average Volatility Index (NKVI) is the most promising candidate to become a leading gauge for APAC. However, to date, methodological shortcomings […]

    Learn more
    APAC
  • Market structure

    Optiver joins Aquis Exchange as liquidity provider For European stocks
    Learn more

    EMEA

  • Market structure

    Options market maker protections: a best-in-class approach
    Learn more

    Global

  • Market structure

    Three ways to keep Europe’s retail investors investing
    Learn more

    EMEA

Latest

Regulation

  • Market regulation

    A better way to measure best execution

    Regulators have suspended RTS 27 reporting and are considering scrapping the requirement to produce RTS 27 and RTS 28 reports altogether. These reports are designed to show the extent to which investors in the U.K. and EU receive best execution for their trades, and they do have some issues in their current form. Instead of scrapping them altogether however, we advocate for making them more useful and less cumbersome to produce.

    Learn more
    EMEA
  • Market regulation

    Portfolio compression in centrally cleared markets

    Portfolio compression is a post-trade balance sheet reduction technique in which two or more counterparties terminate some (or all) of their open interest in derivative contracts, simplifying the management of positions. This frees up valuable capital that would otherwise be held unnecessarily against offsetting positions that could be compressed. The end goal of compression is a cleaner portfolio, with less complexity and enhanced capital efficiencies, allowing for healthier and safer derivative markets.

    Learn more
    Global
  • Market regulation

    Investment firms review

    Level 2 measures Executive Summary The recognition by EU institutions that applying the CRD/CRR framework is disproportionate for most EU investment firms, and the subsequent introduction of the new IFD/IFR regime, is crucial for the development of deep and liquid capital markets in Europe; When designing technical standards under the newly created IFD/IFR regime, it […]

    Learn more
    EMEA
  • Market regulation

    Consolidated tape

    Investors and the capital markets are best served through the delivery of a low-cost, real-time Consolidated Tape of all transactions executed within the Union. Optiver advocates for the intervention by legislators and regulators to form a public utility Consolidated Tape Provider (CTP) that can deliver a low-cost, real-time Consolidated Tape (CT) of post-trade data. This […]

    Learn more
    EMEA
  • Market regulation

    CCP recovery and resolution

    A Perspective from Market Makers Optiver, as one of the largest market making firms in the world, supports legislation that gives regulators and CCPs effective tools to ensure CCPs’ functions are preserved in times of crisis Recovery and resolution of an ailing CCP should be viewed as a public utility function, requiring ex-ante guidelines and […]

    Learn more
    Global
  • Market regulation

    Review of MiFID II

    The reference price in the lit market a foundation to build on As one of the main pieces of the post-crisis reform agenda impacting the financial services sector, MiFID II lays the foundation for more stable and liquid markets in Europe. In order to roll out its potential, further strengthen investor protection and create fully […]

    Learn more
    EMEA
latest

Market views

Latest

Explainers

Read our thought leadership pieces, industry news, market structure insights and more.

  • Series
    Explainers

    Call options

    What do long/short positions in call options mean? An investor that buys call options benefits when the price of the underlying asset is higher than the strike price of the option at expiry. The writer of the call option has the opposite pay-off potential and receives a fixed option premium when they sell the contract.

    Learn more
  • Series
    Explainers

    Put options

    An investor that buys put options benefits from this position when the price of the underlying asset is lower than the strike price of the option at expiry. Conversely, if at expiry the price of the underlying asset is higher than the strike price, the option expires with no intrinsic value and the investor’s loss is equal to the option premium paid.

    Learn more
  • Series
    Explainers

    Options strategies (protective collar)

    Besides buying or selling single options, there are many other possible strategies that involve positions in multiple options simultaneously, as well as combining options with positions in the underlying assets.

    Learn more
  • Series
    Explainers

    Options strategies (long straddle)

    Besides buying or selling single options, there are many other possible strategies that involve positions in multiple options simultaneously, as well as combining options with positions in the underlying assets.

    Learn more
  • Series
    Explainers

    Options volatility

    Volatility is an important concept in the context of option trading, but it’s also one of the more complex ones to understand. In financial markets, volatility captures the amount of fluctuation in asset prices and is generally calculated as the annualized standard deviation of daily price changes, normally expressed as a percentage. To convert the […]

    Learn more
  • Series
    Explainers

    Options pricing

    The Options Basics Explainer introduced the concepts of call and put options, strike price, expiry, and long or short positions in an option contract. This page looks in more detail at option pricing. In the money or out of the money? Preview in new tab An option is a derivative contract that derives its value […]

    Learn more
  • Series
    Explainers

    Option Greeks

    The Option Greeks are a collection of variables that measure the sensitivity of option prices to changes in underlying factors . Mathematically, they are derivatives of components of option pricing models. Each factor has a Greek letter assigned to it, hence the name ‘Greeks’.

    Learn more
  • Explainers

    Futures

    What is a future? A future is a type of derivative contract that represents an agreement to buy or sell an asset at a specified future date, for a price determined today. It is a standardized contract traded on a derivatives exchange. Futures are an important hedging/insurance tool that can be used to protect against […]

    Learn more

All Insights

Sorry, no results available.

Sorry, no more results available.

@optiverglobal

Optiver on Twitter

#Options traders are increasingly using a $1.3 billion #ETF to bet on near-term #volatility in US #stocks. Open interest in $UVXY, a leveraged fund tracking #VIX futures, is the highest in more than a year. Call option contracts are outnumbering puts by two to one.

US markets have the $VIX, and Europe follows the $VSTOXX. So why don’t Asia-Pacific markets have a #volatility gauge of similar stature? That’s the question we ask in our latest Insight.

https://optiver.com/insights/a-vix-for-apac-building-a-regional-volatility-benchmark-2/

#Optiver has been improving financial markets since 1986. As one of the oldest proprietary market-making firms, we’re trusted around the globe to provide liquidity in thousands of financial products.

Find out more about our journey: http://www.optiver.com
#MarketMaker

Load More