Listed options - Model adjustments

The US-listed equity options industry is in a state of flux, as market-makers continue to change their business models and exchanges diversify product offerings. By Navroz Patel

'Tough' is the word Mark Dooley, New York-based managing director and head of equity options trading at Bala Cynwyd, Pennsylvania-based Susquehanna International Group (SIG) uses to characterise the US-listed equity options business. In recent years, falling margins from market-making have forced firms to rely on sheer volume of trading to maintain profits. "Business is now consolidated in the hands of a few big players, which collectively account for around 50% of all volumes in equity options