Why does a retail trader need an Institutional account to trade SPX options? 'Hundreds of thousands of contracts' per day....is it your goal to become a billionaire in less than a year?
You must be one of the Greatest Traders in the World...if you're a retail trader doing that amount of size, volume, money and growth. One of the Top 4 in the history of humankind, mankind.
24/7 accessibility - OCC clear even for OTC stuff - ability to access a Floor Broker during exchange hours. The FB along is worth their weight in gold, FB will add costs, but worth their weight.
You can access floor brokers with TD Ameritrade and other retail. Anything above 50 contracts is sent to the floor. Actually had this removed. Thing is, I don't think it's worth it if you are trying to move size quickly, re-route, change orders, etc. Floor is going to be slower. In terms of 24/7 and OCC clearing, what are you referring to? Options Clearing Corp clears for retail and institutional alike. As for 24/7, not sure what trades like that except crypto!
SPX options trade 24/7 some of it will be sent to OCC to clear/some may not. It is the only OCC product with a choice. Much of the SPX is not pit traded and there the FB can give can add value. Especially with participation order types. Yes anyone can buy the services of a floor broker, but I want an ongoing relationship with the person holding my orders not just an occasional relationship. A handful of names and derivates trade 24/7 or close to it.
Minor point but SPX trade 20/5 not 24/7. That was what I was referring to. I don't know of anything that trades on weekends, and even on weekdays we are talking 20 hours for SPX and even 23 hours for most CME futures for example. As for a floor broker, it's quite a bit slower no? If I'm moving around size fairly quickly I'd want to remove the human element. I don't see the advantage here. Also, I don't know what your initial response was in reference to? Are you just detailing the advantages of a floor broker?
You know more than the cboe: https://go.cboe.com/24x5 Edit: Honestly, the fact that you insist on this means you don't even know the basics. So I'm equally done with you too