The S&P SmallCap 600 index-based listed options contract was allocated Monday to Morgan Stanley. ISE will introduce index options trading pending Securities and Exchange Commission approval.
"We are pleased to enter into a licensing agreement with Standard & Poor's to use the S&P SmallCap 600 as the basis for a listed options contract to be traded on ISE. Enhancing competition in the options market is a key priority for ISE and we believe that the expansion into index options trading will bring important benefits for investors," said Gary Katz, ISE's Chief Operating Officer.
"Since its introduction in 1994, the S&P SmallCap 600 Index has become the index of choice among investors seeking a benchmark that measures the small-cap segment of the U.S. equities market," said Robert Shakotko, managing director, Standard & Poor's. "With the creation of additional ways to access and hedge investments in S&P SmallCap 600 index-based investments, ISE continues to show leadership and responsiveness to the needs of investors."
