Cboe Global Markets Reports Trading Volume for June 2024
Cboe Global Markets reported June 2024 trading volume statistics, noting significant changes across various segments. The average daily volume (ADV) for multiply-listed options dropped by 4%, while index options saw a slight decline of 0.1%. Futures contracts increased by 18.8% year-over-year. U.S. on-exchange equities matched shares decreased by 5.4%, whereas Canadian equities experienced a 28.4% rise. European equities grew by 10.9%, and Japanese equities surged by 80.6%. Global FX reported a new quarterly Spot ADNV record of $47.7 billion. Cboe Japan achieved a record 5.5% market share. The projected RPC for the second quarter of 2024 shows fluctuations across different products, with multiply-listed options at $0.063 per contract and index options at $0.896 per contract.
- Futures contracts increased by 18.8% year-over-year, indicating strong growth in this segment.
- Canadian equities saw a significant rise of 28.4%, demonstrating robust performance.
- Global FX reported a new quarterly Spot ADNV record of $47.7 billion, showcasing enhanced trading activity.
- Cboe Japan achieved a new quarterly lit market share record of 5.5%, marking continuous improvement.
- Average daily volume for multiply-listed options fell by 4%, suggesting a decline in trading activity.
- U.S. on-exchange equities matched shares dropped by 5.4%, indicating decreased market participation.
Insights
Financial Analyst's Perspective:
The trading volume statistics and RPC (Revenue Per Contract) metrics released by Cboe Global Markets offer important information for evaluating the company's recent performance. Examining the Average Daily Trading Volume (ADV) across various segments reveals significant insights into market trends and investor behavior.
Index Options and Futures saw a notable rise in trading volumes, with year-over-year increases of
On the revenue side, the RPC metrics show mixed results. The Global FX achieved a new quarterly ADNV record, indicating robust performance in this segment. However, the slight decline in RPC for Index Options and Multiply-Listed Options could point to increased competition or changes in the trading mix, affecting profitability margins.
Overall, these metrics highlight areas of strength and potential challenges for Cboe. Retail investors should monitor these trends for an understanding of how Cboe's diverse business lines are performing and what it might mean for the stock's future value.
Market Research Analyst's Perspective:
The trading volume data from Cboe showcases several regional trends that are noteworthy. A notable performance was observed in Canadian Equities, which experienced a substantial
The record market share achievements in Japan and Europe demonstrate Cboe's successful expansion and consolidation in these regions. Specifically, Cboe Japan's lit market share record of
These trends are essential for understanding Cboe's global footprint and its regional strategies. Continued growth in these regions could result in increased revenues and diversification benefits for the company, potentially reducing dependency on U.S. markets.
The data sheet "Cboe Global Markets Monthly Volume & RPC/Net Revenue Capture Report" contains an overview of certain June trading statistics and market share by business segment, volume in select index products, and RPC/net capture, which is reported on a one-month lag, across business lines.
Average Daily Trading Volume (ADV) by Month | Year-To-Date | |||||||
Jun | Jun | % | May | % | Jun | Jun | % | |
Multiply-listed options (contracts, k) | 11,002 | 11,467 | -4.0 % | 9,962 | 10.4 % | 10,553 | 10,842 | -2.7 % |
Index options (contracts, k) | 3,913 | 3,917 | -0.1 % | 3,776 | 3.6 % | 4,052 | 3,639 | 11.3 % |
Futures (contracts, k) | 235.1 | 198 | 18.8 % | 214 | 10.0 % | 237 | 215 | 10.4 % |
1,293 | 1,366 | -5.4 % | 1,424 | -9.2 % | 1,426 | 1,435 | -0.6 % | |
73 | 77 | -5.4 % | 79 | -7.4 % | 78 | 84 | -6.8 % | |
Canadian Equities (matched shares, k) | 154,818 | 120,591 | 28.4 % | 140,175 | 10.4 % | 148,479 | 137,531 | 8.0 % |
European Equities (€, mn) | 9,678 | 8,730 | 10.9 % | 8,634 | 12.1 % | 9,744 | 10,314 | -5.5 % |
Cboe Clear Europe Cleared Trades2 (k) | 95,010 | 90,994 | 4.4 % | 96,641 | -1.7 % | 593,345 | 634,938 | -6.6 % |
Cboe Clear Europe Net Settlements2 (k) | 875 | 844 | 3.7 % | 953 | -8.2 % | 5,289 | 5,064 | 4.4 % |
Australian Equities (AUD, mn) | 792 | 688 | 15.1 % | 737 | 7.4 % | 763 | 719 | 6.2 % |
Japanese Equities (JPY, bn) | 296 | 164 | 80.6 % | 333 | -11.1 % | 316 | 184 | 71.7 % |
Global FX ($, mn) | 48,651 | 44,834 | 8.5 % | 43,351 | 12.2 % | 46,475 | 43,726 | 6.3 % |
1 U.S. Equities – Off-Exchange ATS Block metrics restated to incorporate a tier of sell-side activity from July 2023 and forward, previously excluded from reporting. |
2 Cboe Clear Europe figures are totals (not ADV) for the months and years-to-date. As of April 2023, data has been restated to reflect both On-Book and Off-Book cleared trades. |
June and Second Quarter 2024 Trading Volume Highlights
Cboe Europe
- Cboe Clear Europe achieved a monthly market share record of
47% on venues that support interoperable clearing arrangements, beating the previous high of46% set in April 2024.
Global FX
- Global FX reported a new quarterly Spot average daily notional value (ADNV) record of
$47.7 billion
Cboe Japan
- Cboe Japan achieved a new quarterly lit market share record of
5.5% , its second consecutive quarter with record market share.
Second-Quarter 2024 RPC/Net Revenue Capture Guidance
The projected RPC/net capture metrics for the second quarter of 2024 are estimated, preliminary and may change. There can be no assurance that our final RPC for the three months ended June 30, 2024, will not differ materially from these projections.
(In USD unless stated otherwise) | Three-Months Ended | |||
Product: | 2Q Projection | May-24 | Apr-24 | Mar-24 |
Multiply-Listed Options (per contract) | ||||
Index Options | ||||
Total Options | ||||
Futures (per contract) | ||||
Canadian Equities (per 10,000 touched shares) | ||||
European Equities (per matched notional value) | 0.250 | 0.249 | 0.246 | 0.249 |
Australian Equities (per matched notional value) | 0.158 | 0.156 | 0.156 | 0.142 |
Japanese Equities (per matched notional value) | 0.229 | 0.232 | 0.220 | 0.227 |
Global FX (per | ||||
Cboe Clear Europe Fee per Trade Cleared | ||||
Cboe Clear Europe Net Fee per Settlement | ||||
The above represents average revenue per contract (RPC) or net capture is based on a three-month rolling average, reported on a one-month lag. Average transaction fees per contract can be affected by various factors, including exchange fee rates, volume-based discounts and transaction mix by contract type and product type.
- For Options and Futures, the average RPC represents total net transaction fees recognized for the period divided by total contracts traded during the period for options exchanges: BZX Options, Cboe Options, C2 Options and EDGX Options; futures include contracts traded on Cboe Futures Exchange, LLC (CFE).
- For
U.S. Equities, "net capture per 100 touched shares" refers to transaction fees less liquidity payments and routing and clearing costs divided by the product of one-hundredth ADV of touched shares on BZX, BYX, EDGX and EDGA and the number of trading days for the period. - For
U.S. Equities – Off-Exchange, "net capture per 100 touched shares" refers to transaction fees less OMS/EMS costs and clearing costs divided by the product of one-hundredth ADV of touched shares on BIDS Trading and the number of trading days for the period. - For Canadian Equities, "net capture per 10,000 touched shares" refers to transaction fees divided by the product of one-ten thousandth ADV of shares for Cboe Canada and the number of trading days for the period and includes revenue.
- For European Equities, "net capture per matched notional value" refers to transaction fees less liquidity payments in British pounds divided by the product of ADNV in British pounds of shares matched on Cboe Europe Equities and the number of trading days.
- For Australian Equities, "net capture per matched notional value" refers to transaction fees less trading fee relief in Australian Dollars divided by the product of ADNV in Australian Dollars of shares matched on Cboe Australia and the number of trading days.
- For Japanese Equities, "net capture per matched notional value" refers to transaction fees less liquidity payments in Japanese Yen divided by the product of ADNV in Japanese Yen of shares matched on Cboe Japan and the number of trading days.
- For Global FX, "net capture per
one million dollars traded" refers to transaction fees less liquidity payments, if any, divided by the Spot and SEF products of one-thousandth of ADNV traded on the Cboe FX Markets and the number of trading days, divided by two, which represents the buyer and seller that are both charged on the transaction. - For Cboe Clear Europe, "Fee per Trade Cleared" refers to clearing fees divided by number of non-interoperable trades cleared and "Net Fee per Settlement" refers to settlement fees less direct costs incurred to settle divided by the number of settlements executed after netting.
About Cboe Global Markets
Cboe Global Markets (Cboe: CBOE), the world's leading derivatives and securities exchange network, delivers cutting-edge trading, clearing and investment solutions to people around the world. Cboe provides trading solutions and products in multiple asset classes, including equities, derivatives, FX, and digital assets, across
Cboe Media Contacts | Cboe Analyst Contact | |||||
Angela Tu | Tim Cave | Kenneth Hill, CFA | ||||
+1-646-856-8734 | +44 (0) 7593-506-719 | +1-312-786-7559 | ||||
CBOE-V
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Cautionary Statements Regarding Forward-Looking Information
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. You can identify these statements by forward-looking words such as "may," "might," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential" or "continue," and the negative of these terms and other comparable terminology. All statements that reflect our expectations, assumptions or projections about the future other than statements of historical fact are forward-looking statements. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance based on our growth strategies and anticipated trends in our business. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by the forward-looking statements.
We operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible to predict all risks and uncertainties, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.
Some factors that could cause actual results to differ include: the loss of our right to exclusively list and trade certain index options and futures products; economic, political and market conditions; compliance with legal and regulatory obligations; price competition and consolidation in our industry; decreases in trading or clearing volumes, market data fees or a shift in the mix of products traded on our exchanges; legislative or regulatory changes or changes in tax regimes; our ability to protect our systems and communication networks from security vulnerabilities and breaches; our ability to attract and retain skilled management and other personnel; increasing competition by foreign and domestic entities; our dependence on and exposure to risk from third parties; global expansion of operations; factors that impact the quality and integrity of our and other applicable indices; our ability to manage our growth and strategic acquisitions or alliances effectively; our ability to operate our business without violating the intellectual property rights of others and the costs associated with protecting our intellectual property rights; our ability to minimize the risks, including our credit, counterparty, investment, and default risks, associated with operating a European clearinghouse; our ability to accommodate trading and clearing volume and transaction traffic, including significant increases, without failure or degradation of performance of our systems; misconduct by those who use our markets or our products or for whom we clear transactions; challenges to our use of open source software code; our ability to meet our compliance obligations, including managing potential conflicts between our regulatory responsibilities and our for-profit status; our ability to maintain BIDS Trading as an independently managed and operated trading venue, separate from and not integrated with our registered national securities exchanges; damage to our reputation; the ability of our compliance and risk management methods to effectively monitor and manage our risks; restrictions imposed by our debt obligations and our ability to make payments on or refinance our debt obligations; our ability to maintain an investment grade credit rating; impairment of our goodwill, long-lived assets, investments or intangible assets; the impacts of pandemics; the accuracy of our estimates and expectations; litigation risks and other liabilities; and risks relating to digital assets, including winding down the Cboe Digital spot crypto market, operating a digital assets futures clearinghouse, cybercrime, changes in digital asset regulation, and fluctuations in digital asset prices. More detailed information about factors that may affect our actual results to differ may be found in our filings with the SEC, including in our Annual Report on Form 10-K for the year ended December 31, 2023 and other filings made from time to time with the SEC.
We do not undertake, and we expressly disclaim, any duty to update any forward-looking statement whether as a result of new information, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.
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SOURCE Cboe Global Markets, Inc.
FAQ
What was the trading volume change for Cboe's multiply-listed options in June 2024?
How did Cboe's futures contracts perform in June 2024?
What record did Global FX achieve in the second quarter of 2024?
What was the market share achievement of Cboe Japan in the second quarter of 2024?
What was the projected RPC for Cboe's multiply-listed options in the second quarter of 2024?
How did U.S. on-exchange equities perform for Cboe in June 2024?
What was the performance of Canadian equities for Cboe in June 2024?
What was the ADV change for index options in June 2024 for Cboe?
What was the RPC for index options in the second quarter of 2024 for Cboe?
Did Cboe's European equities grow in June 2024?
