# Increased Liquidity for ASX ETOs? US SEC "No Action" Relief



## RichKid (10 December 2007)

These recent changes (around August 2007) apparently mean that certain US financial institutions and brokers can now gain direct access to certain ASX eto's. The documents referred to in the body of the text below are available via this link: http://www.asx.com.au/professionals/institutional/sec_approval.htm

Have any options players here noticed any improvement in the spreads or volumes yet in the instruments mentioned or is it too early? I've attached a chart of eto volume and OI from the link above. A look at a chart six months from now showing the volumes and OI for the particular eto's which enjoy 'No Action' relief may be of interest- we will have to account for organic growth though and try and filter out US-origin trades, not sure if this is easy, especially in large corporate plays.



> SEC "No Action" Relief Granted
> The Securities and Exchange Commission in the United States (SEC) has granted ASX "No Action" Relief in relation to ASX equity and index options. This is the first time ASX has obtained this type of relief from the US regulator.
> What does "No Action" Relief mean?
> 
> ...


----------

