CBOE and S&P Indices Take Action to Enforce Injunction Against ISE Regarding S&P 500 Index Options
CHICAGO, March 23, 2012 /PRNewswire/ -- The Chicago Board Options Exchange (CBOE) and The McGraw-Hill Companies, Inc. and its S&P Indices business ("S&P") today announced that they have asked a court in Chicago to enforce the injunction against the International Securities Exchange, LLC (ISE) to prohibit it from listing and trading options on what ISE has called the ISE Max SPY™ index. S&P is the developer and publisher of the S&P 500® index and exclusively licenses CBOE and C2 Options Exchange (C2) to list and trade options based on the S&P 500.
CBOE and S&P's court filing demonstrates that ISE's options actually are structured to be options on the S&P 500. Therefore, CBOE and S&P seek enforcement of the injunction imposed against ISE in July 2010, which prohibits ISE's "listing or providing an exchange market for the trading of...S&P 500 index options."
"CBOE and S&P brought this action in order to prevent this violation of both CBOE's license rights in S&P 500 index options and S&P's proprietary rights in the S&P 500.These rights were firmly established by legal precedent years ago and were reinforced by the 2010 injunction that prohibited ISE from listing or trading options on the S&P 500," said CBOE Chairman and CEO William J. Brodsky.
CBOE Holdings, Inc. (NASDAQ: CBOE) is the holding company for Chicago Board Options Exchange (CBOE), C2 Options Exchange and other subsidiaries. CBOE, the largest U.S. options exchange and creator of listed options, continues to set the bar for options trading through product innovation, trading technology and investor education. 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 (the VIX Index).
Other 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 C2 Options Exchange (C2), CBOE Futures Exchange (CFE), CBOE Stock Exchange (CBSX) and OneChicago. CBOE is home to the world-renowned Options Institute and www.cboe.com, named "Best of the Web" for options information and education.
CBOE is regulated by the Securities and Exchange Commission (SEC), with all trades cleared by the OCC.
About S&P Indices
S&P Indices, a leading brand of the McGraw-Hill Companies (NYSE:MHP), maintains a wide variety of investable and benchmark indices to meet an array of investor needs. Over $1.45 trillion is directly indexed to our indices, which includes the S&P 500, the world's most followed stock market index, the S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, the S&P Global BMI, an index with approximately 11,000 constituents, the S&P GSCI, the industry's most closely watched commodities index, and the S&P National AMT-Free Municipal Bond Index, the premier investable index for U.S. municipal bonds. For more information, please visit: www.standardandpoors.com/indices.
It is not possible to invest directly in an index. S&P Indices does not sponsor, endorse, sell, or promote any S&P index-based investment product. This document does not constitute an offer of services in jurisdictions where S&P Indices or its affiliates do not have the necessary licenses. S&P Indices receives compensation in connection with licensing its indices to third parties.
CBOE®, Chicago Board Options Exchange®, CBSX®, CBOE Stock Exchange®, CFE®, CBOEdirect®, FLEX®, Hybrid®, LEAPS®, CBOE Volatility Index® and VIX® are registered trademarks, and BuyWrite(SM), BXM(SM), SPX(SM), CBOE Futures Exchange(SM) and The Options Institute are service marks of Chicago Board Options Exchange, Incorporated (CBOE). C2(SM) and C2 Options Exchange(SM) are service marks of C2 Options Exchange, Incorporated. Standard & Poor's®, S&P® and S&P 500® are registered trademarks of Standard & Poor's Financial Services, LLC and have been licensed
for use by CBOE and C2.
SOURCE Chicago Board Options Exchange