A new index based on the stock prices of publicly traded exchanges will be launched Monday (January 30) by the Chicago Board Options Exchange, reflecting the industry's growth ahead of regulatory changes and expectations of increased equity trading volume.
The growth coincides with the implementation of Regulation NMS, a controversial rule adopted by the Securities and Exchange Commission in April 2005 requiring stock traders to accept the best bid or offer available for a stock trade, regardless of which exchange or market posts them. The goal is to ensure that Wall Street firms fulfill stock trades at the best available price.
The CBOE has named the index the CBOE Exchange Index, which will carry the ticker EXQ.
Initially, the index is composed of five security and futures exchanges -- CBOT Holdings Inc. (BOT) (BOT) , Chicago Mercantile Exchange Holdings Inc. (CME) (CME) , International Securities Exchange Inc. (ISE) (ISE) , Nasdaq Stock Market Inc. (NDAQ) (NDAQ) and IntercontinentalExchange (ICE) (ICE) .
It will add the New York Stock Exchange after its initial public offering, the CBOE said. The EXQ index will be re-balanced each quarter.