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NYSE Euronext today announced the launch of mini options contracts on NYSE Arca and NYSE Amex, its U.S. options exchanges, in five actively traded securities and exchange-traded funds. For the first time, NYSE Arca and NYSE Amex options customers are now able to trade mini options with 10 share deliverables as opposed to the standard 100 deliverable contracts. Mini options will be available in Amazon Inc. (AMZN), Apple Inc. (AAPL), Google Inc. (GOOG), SPDR Gold Trust (GLD), and the S&P 500 Index ETF (SPY) effective March 18.
Mini options were designed to meet the growing demand by investors desiring exposure to options on higher priced equity and ETF products, but with less capital at risk than would be required for standard options contracts on those securities.
Key characteristics of Mini options contracts:
- Minis are available on five underlyings: AAPL, AMZN, GLD, GOOG and SPY and will trade under symbols AAPL7, AMZN7, GLD7, GOOG7, and SPY7;
- Minis have a 10 share deliverable vs. a standard contract has an underlying of 100 shares;
- Minis will trade at similar strike prices as standard contracts.
“Minis will enable investors, large and small, to execute options trading strategies without making high capital investments,” Steve Crutchfield, head of NYSE Euronext U.S. Options Exchanges commented. “We are proud of the momentum and of our continued efforts to provide our customers with alternatives that meet their individual trading needs while offering greater choice, access and flexibility.”
NYSE Euronext provides offers customers two exclusive platforms to trade U.S. mini options with reliability, transparency and efficiency: NYSE Arca and NYSE Amex. Together, these options exchanges present a compelling dual market structure with the choice of price-time priority with liquidity provider rebates on NYSE Arca Options, or a customer priority model with an expanded array of services on NYSE Amex Options.
For more information about Mini Options on NYSE Euronext U.S. Options Exchanges, click here.
