Bats Options today unveiled a new suite of risk management tools available at no charge to help its members mitigate risk.
The customizable tools enable members to set critical parameters and prevent unwanted executions. The parameters include: timeframe of executions, quantity of contracts executed, and notional volume limitations. Multiple parameters can be set simultaneously, enabling members to meet their specific risk management needs.
"We're excited to bring this innovation to the market to enable our customers to better manage their market risk. The BATS Options platform is positioned to help participants navigate the transition from a quote driven market to an order driven one," said Jeromee Johnson, vice president, market development and head of BATS Options. "Controlling execution risk is critical, considering the breadth of order exposure that liquidity providers take on in the options markets.
"Providing universal access to this sort of technology-technology that levels the playing field-is of benefit to all options market participants and is another step in our mission to Make Markets Better," he added.