Volatility Can Be Good

The Chicago Mercantile Exchange, CBOT Holdings, and NYSE Group are poised to benefit from jumps in trading volume from institutions

The recent increase in market uncertainty has caused a spike in trading volumes across equity, fixed-income, and derivative markets. This jump in volumes follows an extended period of historically low market volatility in U.S. equity markets. We believe the primary beneficiaries of increased market volatility are the financial exchanges, which derive their revenue directly from trading volume.

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