MIAX Options to launch options on volatility index on Feb. 19

https://www.reuters.com/article/mia...s-on-volatility-index-on-feb-19-idUSL1N20016W

 

So, what do you think chances are for this thing to actually get any meaningful liquidity?

 

Very dependent on who undertakes to make markets on MIAX. Right now it wouldn't exist without ORF. CTC or Group One joins in - then it has a shot. Wonder what if any arb. sets up between MIAX and CBOE. Most desks love to hate the CBOE and their fees. If I were them I would have been out working deals with the Primary and the ETN community prior to launch.

 

How the f*ck do they expect people to make markets on these options without a market in the underlying?

 

With great care.

 

LOL.

IMHO, it's gonna be DoA. Zero innovation, this is just a futile attempt to take liquidity away from CBOE/CFE.

 

Points to them for trying. No CTC there, but pretty much everyone else.

 

http://theoptionsinsider.com/volatility-views-304-is-spikes-the-next-big-thing/

 

I wish they tried something that's related but not identical (e.g. maybe an index based on ATM volatility?). Also, not having a delta-one product makes it rather difficult to take it seriously.

What's verdict?

 

SPX or SPY. SPX call Andy Lowenthal at CBOE and get it on the new product committee calendar. They will certainly make it a discussion point.