Five new stock options started to trade on TASE: First International Bank, NICE Systems, Delek Group, Isramco Negev 2 LP, and Israel Corporation TASE has approved the allocation of 400,000 orders per quote generators handling stock options

Press Release
27/01/2016
 
​On January 28th five new stock options start to trade on TASE - First International Bank, NICE Systems, Delek Group, Isramco Negev 2 LP, and Israel Corporation. This group of options is the first of three groups of new options in which trading will begin during the first quarter of the year.

TASE's Board of Directors decided that the two other dates on which trading in the additional options will begin are February 25th (Opko Health, Frutarom, Elbit Systems, Azrieli Group, and Delek Drilling LP) and March 23th (Paz Oil, Gazit-Globe, Melisron, Strauss Group, Osem Investments, and Ormat Technologies). When the launch of these options is completed, trading in options on all TA 25 Index constituents will be made possible.

In 2009, the TASE introduced trading in stock options. Currently nine stock options are traded on TASE. The decision to launch the new options is intended to expand the variety of options listed for trading on the TASE, in part to give the options exposure through derivatives on shares in industries on which there are no current options and to allow for new investment strategies.

In addition, TASE's Board of Directors approved the allocation of 400,000 daily orders per quote generators on stock options starting January 28th. The quota is intended to eliminate concerns that the quote generators on the stock options will be unable to handle the orders-to-turnover ratio and will be charged for “excess orders”. The quote generators that register for the program will receive the quota with no commitment on their part.

TASE hopes that quote generators, which are currently not active in stock options, will utilize the quota and begin to trade these options. It will contribute to improving the liquidity of stock options, especially in view of the launch of the new options. TASE also decided to end in the stock options' market making and to terminate compensation for this activity.