Trading Alert
MIAX Options
April 02, 2014 | 03:59 PM
MIAX Options - MIAX Aggregate Risk Management (“ARM”) for all Google Options
As the MIAX Options Exchange introduces additional Options on Google, Inc. beginning Thursday, April 3, 2014, the current MIAX Aggregate Risk Management (“ARM”) mechanism will function as follows.
The ARM risk protection mechanism for market makers will continue to provide protection at the underlying-level (i.e.,GOOGL).
After the Google stock distribution, Google will have two Underlyings listed with separate and distinct option products (series). All quotes associated with an option product in a given Google Underlying will be included in the risk calculation for that specific Underlying (i.e., GOOGL or GOOG).
MIAX Market Makers will need to set ARM settings for both GOOGL and GOOG, when each Underlying(s) and their corresponding new or adjusted option products become available.
ARM settings for Google going forward:
1. Setting ARM for Underlying – “GOOGL”
• Includes Option Products (Series): GOLG1 (April 3, 2014)
• Includes Option Products (Series): GOLG8 (April 3, 2014)
• Includes Option Products (Series): GOOGL (April 3, 2014)
2. Setting ARM for Underlying – “GOOG”
• Includes Option Products (Series): GOOG (April 4, 2014)
Additional information regarding ARM can be found in the MIAX Express Interface (“MEI”) Specification which can be accessed at the following link:
interface-specifications.
If you have any questions, please contact please contact MIAX Trading Operations at TradingOperations@miaxglobal.com or (609) 897-7302.