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NYSE Data Insights

Equities / Options

Data Insights

January 25, 2022

Kevin Tyrrell
Head of NYSE Research

NYSE DMMs: Meeting the Volatility Challenge


The NYSE market model features a Designated Market Maker (DMM) for each listed security. The DMM has unique responsibilities to actively make markets (i.e., quote bids and offers) throughout the trading day, both at the inside market prices and throughout the order book. The DMM is also responsible for executing the NYSE Opening and Closing Auctions, and is obligated to ensure all marketable auction orders receive an execution. Other markets do not apply such obligations to any market makers.

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Multi-list options broke nearly all volume records in 2021, driven by the growth of retail participation: daily records (24 of the top 25 volume days of all-time came in 2021), monthly ADV records (April was the only month from 2021 not in the top 12 all-time), and yearly ADV records (37.3M ADV in 2021 was nearly 10M more than in 2020 and double the ADV in 2019).


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