This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

NASDAQ OMX To Introduce Derivatives Trading On U.S. Treasuries

Stock quotes in this article: NDAQ

NEW YORK, Feb. 6, 2013 (GLOBE NEWSWIRE) -- The NASDAQ OMX Group, Inc. (Nasdaq:NDAQ), the world's largest exchange group, in cooperation with BNY Mellon, the global leader in investment management and investment services, today announced plans to introduce options trading on U.S. Treasury Securities at NASDAQ OMX PHLX ®, the largest equity options exchange in the U.S. The first day of trading will take place on February 19 th, 2013.

Exchange-traded derivatives on U.S. Treasuries will provide access to new trading and investing vehicles that allow investors to hedge interest rate risk with more precision, using an 'on the run' convention. NASDAQ OMX and BNY Mellon will offer a flexible, cost-efficient offering for investors who wish to trade derivatives contracts on specific, underlying U.S. Treasury 10-year notes and 30-year bonds. Options contracts on U.S. Treasury Securities may be traded by qualified investors in securities brokerage accounts.

In addition, NASDAQ OMX will bring derivatives trading on U.S. Treasuries to a community of fixed-income investors who seek capital efficiency, transparency and mitigated counterparty risk because of centralized clearing of options contracts. NASDAQ OMX world-class INET technology, which powers 1 in 10 of the world's securities transactions, will provide reliability and average trading latencies below 40 microseconds.

"Ten-year notes and thirty-year bonds, are the most heavily traded securities within the fixed income market, and listing options on U.S. Treasuries on our exchange will bring direct market access to global investors," said Eric Noll, Executive Vice President of Transaction Services U.S. and U.K. at NASDAQ OMX. "It is mission critical for NASDAQ OMX to offer our member firms opportunities within new asset classes and new structures that improve market quality. This partnership will provide investors with an additional level of transparency, deeper liquidity and improved execution efficiency to this new asset class."

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,797.42 -245.48 -1.44%
S&P 500 1,948.94 -23.35 -1.18%
NASDAQ 4,425.1030 -68.2870 -1.52%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs