is the largest futures exchange in the United States and the second largest exchange in the world for the trading of futures and options on futures. Founded in 1898 as a not-for-profitcorporation, in November 2000 CME became the first U.S. financial exchange to demutualize and become a shareholder-owned corporation. Its futures and options on futurestrade on CME's trading floors, on its GLOBEX electronic trading platform and through privately negotiated transactions. CME has four major product areas based on interest rates (including Eurodollar futures, the world's most actively traded futures contract), stock indexes (such as the (S&P 500 and Nasdaq-100 futures), foreign exchange and commodities. Chicago Stock Exchange (CHX) A major exchangetrading only stocks, with 90% of trades taking place on an automated execution system, called MAX. Chief Executive Officer (CEO) A title held often by the Chairperson of the Board, or the president. The person principally responsible for the activities of a company. Chief Financial Officer (CFO) The officer of a firm responsible for handling the financial affairs of a company. Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. Chinese hedge Applies mainly to convertible securities. Trading hedge in which one is short the convertible and long the underlying common, in the hope that the convertible's premium will fall. Antithesis of set-up. Chinese wall Communication barrier between financiers at a firm (investment bankers) and traders. This barrier is erected to prevent the sharing of inside information that bankers are likely to have. Choice market Applies mainly to international equities. Locked market in London terminology. Churning Excessive trading of a client's account in order to increase the broker'scommissions. Cincinnati Stock Exchange (CSE) Stock exchange based in Cincinnati that is the only fully automated stock exchange in the US. It has no tradingfloor, but handles all members'transactions using computers. Circle Underwriters, actual or potential, often seek out and "circle" investor interest in a new issue before final pricing. The customer circled has basically made a commitment to purchase the issue if it is available at an agreed-upon price. If the actual price is other than that stipulated, the customer supposedly has first offer at the actual price. Circuit breakers Measures instituted by exchanges to stop trading temporarily when the market has fallen by a certain percentage in a specified period. They are intended to prevent a market free fall by permitting buy and sell orders to rebalance. Circus swap A fixed-rate currency swap against floating US dollar LIBOR payments. An acronym that stands for Combined Interest Rate and CUrrency Swap. Citizen bonds Certificateless municipals that can be registered on stock exchanges and are listed in newspapers. City code on takeovers and mergers See: Dawn raid Claim dilution A decrease in the likelihood that one or more of a firm'sclaimants will be fully repaid, including time value of money considerations. Claimant A party to an explicit or implicit contract. Class In the case of derivative products, options of the same type-put or call-with the same underlying security. See: Series. In general, refers to