# Optiver leaves ASX, local trading



## skc (1 September 2014)

From this morning's AFR



> The Australian Securities Exchange has been dealt a fresh blow, with global market-making giant Optiver deciding to cease trading on the local bourse in a move that threatens to reduce liquidity in the equity options market.




http://www.afr.com/p/business/companies/optiver_leaves_asx_local_trading_4Lwgl0Q7hcEZmHIW3JkLrM

How will this affect option traders?


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## nulla nulla (1 September 2014)

skc said:


> From this morning's AFR
> 
> 
> 
> ...




One less robot?


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## skc (1 September 2014)

nulla nulla said:


> One less robot?




They are market makers... without them there'd be much less liquidity in the options market.


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## pixel (1 September 2014)

skc said:


> They are market makers... without them there'd be much less liquidity in the options market.




That could also mean a lot fewer "surprises" around option expiry dates...


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## skyQuake (1 September 2014)

Probably because they couldn't stay competitive.

The court battle with Tibra for 7 years or so was settled earlier this year with cash payout from Tibra and no admission of guilt. Which means Tibra is still stealing their lunch money, but gave a little back when the teacher found out.


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## investortom (1 September 2014)

Not good news! we need more competition not less...


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## sails (1 September 2014)

skc said:


> From this morning's AFR
> 
> 
> 
> ...




Thanks for posting that, skc.  I mainly trade XJO options  which still have several other MMs.  It looks like the less liquid stock options could be more difficult trade without Optiver.  

Here's an ASX PDF with the list of current market makers: http://www.asx.com.au/documents/products/ASX_ETO_MM_Fact_Sheet.pdf


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## minwa (1 September 2014)

I have a friend who works at Optiver and they've been migrating to other markets for a long time now so it's a gradual decrease, probably won't be "felt" at the sudden lack of liquidity.


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