Looking for some stock picks for July? Tom Busby, president and CEO of DTI, offered some ideas at DTI’s Windy City Workshop in Chicago this morning. Busby said the current market “gives hope for opportunity.” He said that in general, traders should pick stocks that are liquid and widely followed, so that news on companies is easily available.
Posts Tagged ‘CBOE’
Top 10 stocks of summer
Monday, July 26th, 2010CBOE snags best-selling author
Thursday, March 25th, 2010Best-selling mystery writer Mary Higgins Clark has purchased a seat at the Chicago Board Options Exchange(CBOE), according to Crain’s. Clark is married to futures industry titan and former Merrill Lynch CEO John Conheeney. Personally, I devoured Clark’s novels in junior high, and I wasn’t alone, as Clark reportedly sold between 80 and 100 million copies in the U.S. Bloomberg reports that Clark paid $2.95 million for her seat. For CBOE itself, the latest mystery is what will happen in the wake of its much-delayed and long-anticipated IPO announcement a few weeks ago. Before the IPO announcement, CBOE and CME Group entered into a licensing agreement related to CBOE’s volatility franchise, leading to speculation about a larger deal between the two Chicago exchange operators.
Demonizing derivatives
Wednesday, January 6th, 2010CFTC Chairman Gary Gensler kicked off the new year by outlining his goals for regulatory reform in a speech before the Council on Foreign Relations today. In it, Gensler blamed over the counter (OTC) derivatives for much of the financial crisis of 2008. “I believe that over the counter derivatives were at the heart of the crisis. We have all witnessed firsthand the effects that unregulated derivatives had across the entire economy,” he said. (more…)
Tax bombshell
Wednesday, May 13th, 2009The U.S. Treasury’s 2010 revenue proposal, released Monday, included a bombshell for the futures and options industry: the possibility of the end of preferential 60/40 tax treatment for futures and options. Under the 60/40 rule, enacted 25 years ago, for U.S. futures contracts 60% of gains are considered long-term gains, taxed up to 15%, and the remaining 40% of gains are considered short-term gains, taxed up to 35%. The Treasury’s proposal would eliminate 60/40 treatment. (more…)
Options bigs talk shorts
Friday, May 1st, 2009Regulatory issues are all the rage today in Weston, Florida, at the 27th Annual Options Industry Conference. At a press breakfast this morning, Chicago Board Options Exchange Chairman Bill Brodsky discussed the changing of the guard at the Securities and Exchange Commission and Commodity Futures Trading Commission. He called new SEC chair Mary Schapiro “as well qualified as anyone in recent history” and said the SEC “has a really good cadre of commissioners.” Meanwhile, confirmation for President Obama’s nomination to head the CFTC, Gary Gensler, is being held up by various political stalemates in the Senate. Brodsky said he “doesn’t know whether [Gensler] will make it” but hopes to see him get the job.
CBOE ERP update
Tuesday, January 6th, 2009At its annual press luncheon today, Chicago Board Options Exchange Chairman Bill Brodsky, Executive Vice Chairman Ed Tilly and Vice Chairman Brad Griffith reviewed the exchange’s triumphs in what has proven a very challenging year for all firms in the financial services industry, and the status of the ongoing scrum over exercise right privileges (ERP).
In regards to the longstanding ERP issue, in which former members of the Chicago Board of Trade have asserted their claim to an equity stake, Brodsky provided this: “There is light at the end of the tunnel,” adding that he had never said that before relating to the issue. The $300 million settlement with former CBOT members is currently before a chancellor in Delaware. Objections were heard on Dec. 16, mostly relating to eligibility issues related to the class action suit and not related to the fairness of the settlement. A ruling is expected in two to four weeks. Should the chancellor approve the deal, former CBOT members would have 30 days to file an appeal. While there is no telling how long an appeal could take, it likely would be less than a year. “An appeal would be the last hurdle,” Brodsky says, adding that the exchange has “no debt” and could pay the settlement with a check.
CBOT vs. CBOE: No cessation of hostilities
Tuesday, August 12th, 2008Russian military operations in Georgia are winding down, but tensions between former CBOT members and the Chicago Board Option Exchange (CBOE) over exchange right privileges (ERP) remain unresolved.
This morning in a CBOE members’ circular, CBOE’s office of the chairman issued a statement that while progress has been made, the agreement, which was to give former CBOT member an 18% equity stake in the options exchange and a cash payment of $300 million to end all claims, had not been finalized.
Word is that the agreement is still being held up by infighting amongst CBOT members over the number of people who will qualify for the settlement. The fewer who qualify, the larger the individual payouts would be. The CBOE has the right to walk away from any agreement that does not extinguish equity claims by all former CBOT members.
More to come….
