Catherine Clay, Global Head of Derivatives at Cboe Global Markets, Discusses Vision for Unified Derivatives Franchise

Apr 15, 2024

John Lothian

John Lothian

Executive Chairman and CEO

Catherine Clay, the global head of derivatives at Cboe Global Markets, recently shared insights into the strategic reorganization of the company’s derivatives operations in an interview with John Lothian News at FIA’s International Futures Industry Conference in Boca Raton, FL. This discussion was part of the JLN Industry Leader video series sponsored by Wedbush.

The reorganization aimed at unifying Cboe’s US options exchanges and futures exchange with its European derivatives exchange marks a significant consolidation in the company’s derivatives franchise. Clay said the integration of ancillary functions such as the products innovation team, now known as Cboe Labs under Rob Hocking, and the Options Institute, into the global derivatives structure. This consolidation enhances collaboration across regions, enabling a cohesive approach to go-to-market strategies and priorities.

The derivatives franchise has witnessed substantial growth, with volumes increasing by 60% year over year in 0DTE option volumes, Clay said. Investment in the index options space has been a focal point, with recent expansions including the addition of Tuesday Thursday expertise to Russell 2000 options and the enhancement of the relationship with MSCI, leading to the introduction of three new index options products, she said.

Clay also said the company’s strategic focus is on expanding its presence in international markets, particularly in Japan, where regulatory shifts are creating opportunities for growth. With a keen eye on market developments, Cboe aims to expand its equities exchange in Japan and capitalize on evolving market dynamics, Clay said.

Additionally, Clay highlighted the enduring value of Cboe’s trading floor environment, particularly for complex trades such as those involving the S&P 500 index options. The hybrid trading floor continues to play a crucial role in facilitating price discovery and providing market participants with a robust trading environment, she said.

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