ASX Participants and option users are advised of the introduction of new ETO market making arrangements on ASX Trade from Friday 1 October 2021.

Benefits of the new arrangements include:

• Increase in the number of ETO series continuously quoted.
• Increase in the amount of liquidity available to trade.
• Reduced bid/offer spreads in shorter dated options.
• Introduction of obligations in European Single Stock options.
• Increased accuracy in ASX valuations and margining.
• Aligning the start time to when an underlying opens.

Initially the new scheme will be taken up by 3 market makers:

• Mako
• Susquehanna
• Vivienne Court

The remaining market makers will remain on current arrangements and are expected to convert across to the new scheme in due course.

Please note that these new arrangements are a significant change for those market makers implementing them and as such it is expected to take a number of weeks before the full market impact is observed.

For further information please refer to the following link.

What do I need to do by when?

Participants are advised to notify their clients of the new ETO market making arrangements and highlight the changes expected to be achieved.

For more information refer to the following link.

Need more information?

Issued by

Gregory Pill – Head of Equity Derivative Products

Contact information

Brokers/Clearers contact
Graham O’Brien
+61 2 9227 0672
+61 438 649 911
mailto:graham.obrien@asx.com.au

Market Makers contact
Gregory Pill
+61 2 9227 0696
+61 424 1861 77
mailto:greg.pill@asx.com.au

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