The Chicago Board Options Exchange (CBOE) filed a rule proposal that would extend the current delta hedging exemption from equity option position limits to customers. The delta hedging exemption currently only applies to members or non-member affiliates that use a “permitted pricing model”. The filing would extend the existing exemption to customers of members who use the pricing model maintained and operated by the Options Clearing Corporation. The CBOE determined that extending the exemption to customers at this time was appropriate given that customers had expressed an interest in using it and that it had not encountered any problems with the delta hedging exemption since it initially adopted it for members and non-member affiliates 18 months ago.  

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