Chicago Board Options Exchange, Chicago Mercantile Exchange and Chicago Board of Trade announced today they would form a new electronic exchange dedicated to trading single stock futures contracts, effective later this year. The CBOE and CME will each have a 45% interest in the venture, and the CBOT will have a 10% interest. The CBOE and CME will provide their members access through their respective electronic trading platforms, and the CBOT has asked its partners in the Alliance/CBOT/Eurex electronic platform if they would consider providing CBOT members access through that platform.
The joint venture should help the Chicago exchanges compete with the London International Financial Futures and Options Exchange, which started trading single, or universal, stock futures in January. Chicago exchange officials said the exact structure of the new exchange, including the name of the system, must still be determined.