MERCADOS ORGANIZADOS DE OPCIONES Y FUTUROS

The Chicago Board Options Exchange

• Location: 400 South LaSalle Street Chicago, Illinois.• Established: April 26, 1973 in a celebration of the 125th

birthday of the Chicago Board of Trade

• History: The emergence of options trading as we know it today comes with the setting up of the Chicago Board of Options Exchange (CBOE) and the Options Clearing Corporation (OCC) in 1973 where standardized exchange traded call options were introduced. By 1977, put options were also introduced by the CBOE and since then, options trading took on the standardized exchange traded form that we are familiar with today. About 100 years following the introduction of options trading to the US market by Russell Sage, the most important event in modern options trading history took place with the formation of the Chicago Board of Exchange (CBOE) and the Options Clearing Corporation (OCC) in 1973. The formation of both institutions truly is a milestone in the history of options trading and have defined how options are traded over a public exchange the way it is traded today. The most important function of the CBOE is in the standardisation of stock options to be publicly traded. Yes, prior to the formation of the CBOE, options were traded over the counter and are highly unstandardized, leading to an illiquid and inefficient options trading market. In order for options to be openly traded, all options contracts need to be standardized with the same terms across the board. That was what the CBOE did for call options back in 1973. For the first time, the general public is able to trade call options under the performance guarantee of the OCC and the liquidity provided by the market maker system. This structure continues to be used today. By 1977, put options were introduced by the CBOE, creating the options trading market that we know today. Since then, more and more exchanges were set up for options trading and better computational models for the pricing of options were introduced.

• Offerings: CBOE offers equity, index and ETF options, including proprietary products, such as S&P 500 options (SPX), the most active U.S. index option, and options on the CBOE Volatility Index (VIX), the world's barometer for market volatility. Other groundbreaking products engineered by CBOE include equity options, security index options, LEAPS options, FLEX options, and benchmark products, such as the CBOE S&P 500 BuyWrite Index (BXM). CBOE's Hybrid Trading System incorporates electronic and open outcry trading, enabling customers to choose their trading method. CBOE's Hybrid is powered by CBOEdirect, a proprietary, state-of-the-art electronic platform that also supports the CBOE Futures Exchange (CFE), CBOE Stock Exchange (CBSX) and OneChicago. CBOE is home to the world-renowned Options Institute and CBOE.com, named "Best of the Web" for options information and education.

The New York Stock Exchange

• Location: 11 Wall Street, Lower Manhattan, New York City, New York, United States.

• Established: May 17, 1792

• History: The origin of the NYSE can be traced to May 17, 1792, when the Buttonwood Agreement was signed by 24 stockbrokers outside of 68 Wall Street in New York under a buttonwood tree on Wall Street. On March 8, 1817, the organization drafted a constitution and renamed itself the "New York Stock & Exchange Board." Anthony Stockholm was elected the Exchange's first president. The first central location of the Exchange was a room, rented in 1792 for $200 a month, located at 40 Wall Street. After that location was destroyed in the Great Fire of New York in 1835, the Exchange moved to a temporary headquarters. In 1863, the New York Stock & Exchange Board changed to its current name, the New York Stock Exchange. In 1865, the Exchange moved to 10–12 Broad Street.The New York Stock Exchange was closed for ten days starting September 20, 1873, because of the Panic of 1873. The volume of stocks traded increased sixfold in the years between 1896 and 1901, and a larger space was required to conduct business in the expanding marketplace. Eight New York City architects were invited to participate in a design competition for a new building; ultimately, the Exchange selected the neoclassic design submitted by architect George B. Post. Demolition of the Exchange building at 10 Broad Street, and adjacent buildings, started on May 10, 1901.The new building, located at 18 Broad Street, cost $4 million and opened on April 22, 1903. The trading floor, at 109 × 140 feet (33 × 42.5 m), was one of the largest volumes of space in the city at the time, and had a skylight set into a 72-foot (22 m)-high ceiling. The main façade of the building features six tall columns with Corinthian capitals, topped by a marble pediment containing high-relief sculptures by John Quincy Adams Ward with the collaboration of Paul Wayland Bartlett, carved by the Piccirilli Brothers, representing Integrity Protecting the Works of Man.

• The building was listed as a National Historic Landmark and added to the National Register of Historic Places on June 2, 1978. In 1922, a building for offices, designed by Trowbridge & Livingston, was added at 11 Wall Street, as well as a new trading floor called the Garage. Additional trading floor space was added in 1969 the Blue Room, and in 1988 the EBR or Extended Blue Room, with the latest technology for information display and communication. Yet another trading floor was opened at 30 Broad Street called the Bond Room in 2000. As the NYSE introduced its hybrid market, a greater proportion of trading came to be executed electronically, and due to the resulting reduction in demand for trading floor space, the NYSE decided to close the 30 Broad Street trading room in early 2006. As the adoption of electronic trading continued to reduce the number of traders and employees on the floor, in late 2007, the NYSE closed the rooms created by the 1969 and 1988 expansions. The Stock Exchange Luncheon Club was situated on the seventh floor from 1898 until its closure in 2006. The NYSE announced its plans to merge with Archipelago on April 21, 2005, in a deal intended to reorganize the NYSE as a publicly traded company. NYSE's governing board voted to merge with rival Archipelago on December 6, 2005, and become a for-profit, public company. It began trading under the name NYSE Group on March 8, 2006. A little over one year later, on April 4, 2007, the NYSE Group completed its merger with Euronext, the European combined stock market, thus forming the NYSE Euronext, the first transatlantic stock exchange.

• Presently, Marsh Carter is Chairman of the New York Stock Exchange, having succeeded John S. Reed and the CEO is Duncan Niederauer, having succeeded John Thain.

• Offerings: The New York Stock Exchange (sometimes referred to as "the Big Board") provides a means for buyers and sellers to trade shares of stock in companies registered for public trading. On the trading floor, the NYSE trades in a continuous auction format, where traders can execute stock transactions on behalf of investors. They will gather around the appropriate post where a specialist broker, who is employed by an NYSE member firm (that is, he/she is not an employee of the New York Stock Exchange), acts as an auctioneer in an open outcry auction market environment to bring buyers and sellers together and to manage the actual auction. They do on occasion (approximately 10% of the time) facilitate the trades by committing their own capital and as a matter of course disseminate information to the crowd that helps to bring buyers and sellers together. The auction process moved toward automation in 1995 through the use of wireless hand held computers (HHC). The system enabled traders to receive and execute orders electronically via wireless transmission. On September 25, 1995, NYSE member Michael Einersen, who designed and developed this system, executed 1000 shares of IBM through this HHC ending a 203 year process of paper transactions and ushering in an era of automated trading. As of January 24, 2007, all NYSE stocks can be traded via its electronic Hybrid Market (except for a small group of very high-priced stocks). Customers can now send orders for immediate electronic execution, or route orders to the floor for trade in the auction market. In the first three months of 2007, in excess of 82% of all order volume was delivered to the floor electronically. Until 2005, the right to directly trade shares on the exchange was conferred upon owners of the 1366 "seats".

• The term comes from the fact that up until the 1870s NYSE members sat in chairs to trade. In 1868, the number of seats was fixed at 533, and this number was increased several times over the years. In 1953, the number of seats was set at 1366. These seats were a sought-after commodity as they conferred the ability to directly trade stock on the NYSE. Seat prices varied widely over the years, generally falling during recessions and rising during economic expansions. The most expensive inflation-adjusted seat was sold in 1929 for $625,000, which, today, would be over six million dollars. In recent times, seats have sold for as high as $4 million in the late 1990s and as low as $1 million in 2001. In 2005, seat prices shot up to $3.25 million as the exchange entered into an agreement to merge with Archipelago and become a for-profit, publicly traded company. Seat owners received $500,000 in cash per seat and 77,000 shares of the newly formed corporation. The NYSE now sells one-year licenses to trade directly on the exchange. Licences for floor trading are available for $40,000 and a licence for bond trading is available for as little as $1000 as of 2010.

Neither are resell-able, but may be transferable in during the change of ownership of a cooperation holding a trading licence. In the mid-1960s, the NYSE Composite Index was created, with a base value of 50 points equal to the 1965 yearly close. This was done to reflect the value of all stocks trading at the exchange instead of just the 30 stocks included in the Dow Jones Industrial Average. To raise the profile of the composite index, in 2003 the NYSE set its new base value of 5,000 points equal to the 2002 yearly close.

The London Stock Exchange

• Location: 82 King Street  Manchester M2 4WQ, London, United Kingdom.

• Established: 1698

• History: The Royal Exchange had been founded by Thomas Gresham on the model of the Antwerp Bourse, as a stock exchange. It was opened by Elizabeth I in 1571. During the 17th century, stockbrokers were not allowed in the Royal Exchange due to their rude manners. They had to operate from other establishments in the vicinity, notably Jonathan's Coffee-House. At that coffee house, a broker named John Casting started listing the prices of a few commodities, exchange rates and certain key provisions such as salt, coal and paper in 1698. Originally, this was not a daily list and was only published a few days of the week. This list and activity was later moved to Garraway’s coffee house. Public auctions during this period were conducted for the duration that a length of tallow candle could burn; these were known as "by inch of candle" auctions. As stocks grew, with new companies joining to raise capital, the royal court also raised some monies. These are the earliest evidence of organised trading in marketable securities in London. After Gresham's Royal Exchange building was destroyed in the Great Fire of London, it was rebuilt and re-established in 1669. This was a move away from coffee houses and a step towards the modern model of stock exchange. The Royal Exchange not only housed brokers but also merchants and merchandise. This was the birth of a regulated stock market, which had teething problems in the shape of unlicensed brokers. In order to regulate these, Parliament brought out an act in 1697 that levied heavy penalties, both financial and physical to those brokering without a licence. It also set a fixed number of brokers (at 100), which was later increased as the size of the trade grew.

• This invariably led to several problems of its own, one of which was that the traders had started leaving the Royal Exchange, either by their own virtues or through expulsion and had started dealing in the streets of London. The street in which they were now dealing was known as Change or Exchange Alley which was suitably placed close to the Bank of England. Parliament tried to regulate this and ban the unofficial traders from the Change streets. Companies became weary of "bubbles" when companies rose quickly and fell, so they persuaded Parliament to pass a clause preventing "unchartered" companies from forming. After the Seven Years War (1756–1763), trade at Jonathan's coffee house boomed again. In 1773, Jonathan, together with 150 other brokers, formed a club and opened a new and more formal "Stock Exchange" in Sweeting's Alley. This now had a set entrance fee, through which traders could enter the stock room and trade securities. It was, however, not an exclusive location for trading, as trading also occurred in the Rotunda of the Bank of England. Fraud was also rife during these times and in order to deter such dealings, it was suggested that users of the stock room pay an increased fee. This was not met well and ultimately, the solution came in the form of annual fees and turning the Exchange into a Stock Subscription room. The Subscription room created in 1801 was the first regulated exchange in London, but the transformation was not welcomed by all parties. On the first day of trading, non-members had to be expelled by a constable. In spite of the disorder, a new and bigger building was planned, at Capel Court. William Hammond laid the first foundation stone for the new building on 18 May. It was finished on 30 December when "The Stock Exchange" was incised on the entrance.

• . In the Exchange's first operating years, on several occasions there was a clear set of regulations or fundamental laws missing for the Capel Court trading. In February 1812, the General Purpose Committee confirmed a set of recommendations, which later became the foundation of the first codified rule book of the Exchange. Even though the document was not a complex one, topics as settlement and default were, in fact, quite comprehensive. With its new governmental commandments and increasing trading volume in place, the Exchange was progressively becoming an accepted part of the financial life in the City. In spite of continuous criticism from newspapers and the public, the government used the Exchange's organised market (and would most likely not have managed without) to raise the enormous amount of money in the wars against Napoleon. After the war and facing a booming world economy, foreign lending to countries such as Brazil, Peru and Chile were a growing market. Notably, the Foreign Market at the Exchange allowed for merchants and traders to participate as well and The Royal Exchange hosted all transactions where foreign parties were involved. The ever-increasing of overseas business meant eventually the dealing in foreign securities had to be allowed within all of the Exchange's premises. Just as London enjoyed its international growth forthcoming, the domestic Great Britain also benefited from the economic boom. Two other cities were particularly showing great business development, namely Liverpool and Manchester. Consequently, in 1836, both the Manchester and Liverpool Stock Exchanges were opened. These were also times when stockbroking was considered a real business profession and such attracted many entrepreneurs. Nevertheless, with booms came busts, and in 1835 the “Spanish panic” hit the markets, also followed by a second one two years later. Some stocks soared by some 10, 20 and 30 pct, a week.

• Offerings: From our premium fully electronic order-driven services for liquid UK and international Global Depositary Receipts, through to our quote driven market maker services for less liquid securities, our Trading Services are designed to maximise liquidity in the securities traded on them.

• Our domestic trading services• SETSSETS is the London Stock Exchange's premier electronic trading service that combines

electronic order-driven trading with integrated market maker liquidity provision, delivering guaranteed 2-way prices.SETSqxSETSqx (Stock Exchange Electronic Trading Service – quotes and crosses) supports 4 electronic auctions a day at 8am, 11am, 3pm and 4:35pm, along with continuous stand alone quote driven Market Making.

• SEAQQuote driven platform for Fixed Interest market and AIM securities not traded on either SETS or SETSqx.

• Our international trading services• International Order Book

Our electronic order book for trading Global Depositary Receipts from some of the worlds fastest growing markets.

European Quoting ServiceQuote Driven Market Making and trade reporting service for liquid MiFID securities not on another Exchange service

European Trade ReportingTrade reporting service for non-liquid MiFID securities not found on another Exchange service.

Tokyo Financial Exchange

• Location: Marunouchi Park Building 15th Floor2-6-1 Marunouchi, Chiyoda-ku, Tokyo 100-6915

• Established: April 1989

• History: In April 1989, TFX was established as a membership organization with the capital provided by large sized financial institutions from around the globe, and in April 2004, was demutualized and incorporated in order to strengthen corporate governance as well as to enhance convenience and transparency of the market. In addition, because the Financial Futures Trading Law was abolished and the Financial Instruments and Exchange Law, which was revised with the Securities and Exchange Law, was enforced in September 2007, TFX transformed from a “Financial Futures Exchange” that handles only financial futures, into a more comprehensive “Financial Exchange” that handles any kind of financial products. 

Under the new law, through responding to the needs of investors and promoting to develop the new lines of attractive products, TFX, as an advanced exchange, contributes to the growth of Japanese financial markets and is continuing to construct a reliable and leading market infrastructure.

• Offerings: • Three-month Euroyen futures• Options on Three-month Euroyen futures• Six-Month Euroyen LIBOR futures• Average Uncollateralized Overnight Call Rate (Final results) released by the Bank Of

Japan (BOJ) over the interval between the BOJ Monetary Policy Meetings (MPMs) which TFX designates

• Average GC Spot-Next Repo Rate (Tokyo Repo Rate) released by the Bank Of Japan (BOJ) over the interval between the BOJ Monetary Policy Meetings (MPMs) which TFX designates

• Exchange Forex Margin Contracts• Yen Currency Pairs

• US Dollar/Japanese YenEuro/Japanese Yen• British Pound/Japanese YenAustralian Dollar/Japanese Yen• Swiss Franc/Japanese YenCanadian Dollar/Japanese Yen • New Zealand Dollar/Japanese Yen• South Africa Rand/Japanese YenNorway Krone /Japanese Yen• Hong Kong Dollar /Japanese YenSweden Krone /Japanese Yen• Poland Zloty /Japanese Yen• Chinese Yuan /Japanese Yen• Korean Won /Japanese Yen• Indian Rupee /Japanese Yen

• Exchange Equity Index Margin Contracts• Nikkei 225 Margin contracts• DAX® Margin contracts• FTSE 100 Margin contracts• FTSE China 25 Margin contracts• FTSE TWSE Taiwan 50 Margin contracts(to be listed)

The NASDAQ(National Association of Securities Dealers Automated Quotation) Stock Market

• Location: One Liberty Plaza 165 Broadway, New York, NY 10006

• Established: February 8, 1971

• History: NASDAQ began forty years ago at the National Association of Securities Dealers, or NASD. The NASD wanted to create a way for investors to buy and sell stocks on a computerized, transparent, and fast system. This would eliminate the burden and inefficiency of in-person stock transactions, which had been the prevalent model for nearly a century. The NASD believed that investors could make more money by closing the price gaps between buyers and sellers, and technology had evolved enough at that point to make it happen.

• On February 8, 1971, the National Assocation of Securities Dealers Automated Quotation (NASDAQ) went live with median quotes for 2,500 over-the-counter securities. As we celebrate the 40th anniversary of electronic trading, we are proud that the revolutionary, disruptive model that the NASD developed in 1971 is now the standard for markets worldwide. In our early years, we gave growth companies the opportunity to raise capital that wasn’t previously available to them. Those companies (Intel, Microsoft, Apple, Cisco, Oracle, Dell, to name a few) used the capital raised on The NASDAQ Stock Market to make the cutting edge products that are now integral to our daily lives. These companies have also created millions of jobs around the world along the way..

• In 2006, NASDAQ completed its separation from the NASD and began to operate as a national securities exchange. The next year (2007), NASDAQ combined with the powerful Scandinavian exchange group OMX and officially became The NASDAQ OMX Group, further demonstrating its commitment to technology and innovation across global markets.

• Offerings: • Equities. We own 10 equities markets around the world. As the largest single liquidity

pool for U.S. equities, our U.S. markets – The NASDAQ Stock Market, BX, PSX - offer 3 models. Our 7 European equities markets allow efficient cross-border trading, settlement and membership through one platform.

• Options, Derivatives, Fixed Income. We operate two U.S. options markets that represent 25% of the total U.S. equity options trading. PHLX offers a traditional floor with a pro-rata electronic allocation model and the NASDAQ Options Market allocates orders on a first-come, first-serve basis for high-frequency traders. One of the Top 5 European bond markets, the entire European fixed income market sets prices with our full pricing transparency. Trading nearly 600,000 contracts per day, we are the third largest European derivatives exchange.

• Commodities. In Europe, we were the first exchange in the world to list carbon allowances (EUA) and carbon credits (CER) and now are one of Europe’s largest markets for carbon trading. Our Nordic power market is a global benchmark with more than double the trading volumes than the #2 European power exchange. We created a new UK power market in co-operation with market participants called N2EX. In the U.S., we offer clearing solutions to the most important grids: ERCOT in TX; PJM in PA, NJ, MD; and CAISO in CA.

• Clearing. In the U.S., we offer central counterparty clearing of OTC Interest Rate Derivatives through a tried and tested futures solution, clearing as a swap or a future. Our European clearing has 91 members and complies with international “best practice” recommendations. Our Derivatives Market allows clearing for a variety of OTC-traded derivatives differing on terms or conditions from exchange- and clearing-listed instruments. We are the only clearinghouse to offer Nordic Fixed Income instruments clearing.

• Listings• Preferred Listings. We are the market of choice for 2 of the 3 largest U.S. companies,

3 of the top 5 of Fortune’s Most admired brands, and 7 of Fortune's top 10 Fastest Growing Companies. The NASDAQ Stock Market gives listed companies global visibility, access to investors worldwide, and the fastest trading platform in the world. Plus, we’re not just a listing market. This is the first and only exchange company dedicated to owning and operating business solutions. We help public and private companies minimize risk, maximize efficiency, and increase transparency. We even provide Corporate Solutions packages to other exchanges around the globe to offer to their listed companies.

• Innovative Companies. Representing all industry sectors, our listings are known as the game changers— those who adhere to innovation and progress. In a recent survey of C-level executives, 71% said that NASDAQ is the exchange for innovation. It is also a brand with tremendous global reach. Many Chinese companies, for example, are choosing our market as their channel to U.S. capital and investment.