The Nasdaq Stock Market Inc. announced today that it will begin to offer customers connectivity and routing to options exchanges in the first quarter of 2006.

Nasdaq is already a member of several exchanges through its Brut broker-dealer, including: the American Stock Exchange, the Boston Stock Exchange, the International Securities Exchange, the Pacific Stock Exchange, and the Philadelphia Stock Exchange. Additionally, it plans to obtain access to the Chicago Board Options Exchange.

It is adding options to its routing network that includes smart-order routing in Nasdaq and exchange-listed securities as well as high-speed, direct connectivity to the NYSE. Nasdaq will not match option orders, but will offer the ability to route the orders to exchanges, making it easier for customers to leverage its high-speed, low-cost linkage system in equities and options all on the same platform.

“Over the past year, NASDAQ has rolled out strategic product developments and offered customers linkage solutions focused on the changing regulatory landscape,” says executive vice president of NASDAQ Transaction Services Chris Concannon. “With the shift in options trading to electronic platforms, options volumes have grown 20% year over year. As the options industry continues to evolve, we are poised to become an attractive options smart-routing provider for market participants.”

“Traders are increasingly looking for ways to trade more efficiently across all asset classes. By leveraging its distribution network for options trading, Nasdaq is positioning itself as a one-stop platform offering customers a fast, reliable, and anonymous connectivity solution for both equities and options trading at a low-cost,” adds Concannon.