UIC Business Visits Chicago Board Options Exchange (Cboe)
Introduction
Emeritus Finance Professor Gib Bassett led a group of UIC Business students, faculty, and staff to tour the new Chicago Board Options Exchange (Cboe) trading floor. The new trading floor opened in June 2022 with a hybrid trading system that combines open outcry and electronic trading.
Breaking up into small groups, Cboe tour guides described the floor operations and the roles played by the market makers and brokers on the floor. The tour ended with the group assembling on the bell-ringing platform overlooking the trading floor to ring the closing bell at 3:15 pm. UIC Business students included students from Professor Bassett’s FIN 594/494 class, The Chicago Exchanges; CMBA students; Business Scholars; and CME Scholars. Additional faculty included Finance faculty, Andriy Bodnaruk, Dermot Murphy, and Lingjie Ma, as well as Emeritus Professor of Economics, Mo-Yin Tam.
The Cboe offers trading across multiple asset classes and geographies, including options, futures, U.S. and European equities, exchange-traded products (ETPs), and global foreign exchange (FX). It houses 10 trading pits including the S&P 500 Index (SPX) options, Cboe Volatility Index (VIX) options, Russell 2000 Index (RUT) options, and SPDR S&P 500 ETF Trust (SPY) options pits. The Cboe is the largest options exchange in the U.S.