Cboe VIX Futures Options Launch
- Cboe Global Markets, Inc.is set to launch options on Cboe Volatility Index (VIX) futures, expanding its suite of volatility management tools.
- The new options on VIX futures (VX) will offer functionality comparable to Cboe's existing securities-based VIX Index options.
- Because the underlying asset is futures, these options will be regulated by the CFTC.
Cboe is set to revolutionize volatility management with the launch of options on VIX futures (VX) on October 14.This strategic move expands the exchange’s already robust toolkit,providing traders with new avenues to express their market views and execute complex hedging strategies. These new options, regulated by the CFTC, will open access to a broader audience, allowing those who may not have access to U.S. securities-based options to participate. The launch is not just about introducing a new product; it’s about empowering a wider array of market participants to manage risk effectively. Cboe’s expansion reflects the growing demand for these tools and their ongoing commitment to innovation in the volatility space. News Directory 3 shares this news.Discover what’s next for Cboe’s growing product line.
Cboe to Launch Options on VIX Futures for Enhanced Volatility management
Updated May 28, 2025
Cboe Global Markets, Inc.is set to launch options on Cboe Volatility Index (VIX) futures, expanding its suite of volatility management tools. Trading is expected to begin Oct. 14 on the Cboe Futures Exchange, LLC.
The new options on VIX futures (VX) will offer functionality comparable to Cboe’s existing securities-based VIX Index options. However,these options will be based on front-month VIX futures.
Because the underlying asset is futures, these options will be regulated by the CFTC. This allows a wider array of market participants, who may not have access to U.S. securities-based options, to express their views on market volatility and use the product for hedging strategies.
“Given the increased trading activity we’re seeing in VIX options and the strong demand for hedging tools this year, we’re especially excited to expand our volatility toolkit to include these new options on VIX futures and our planned relaunch of variance futures coming in late September,” said rob Hocking, head of product innovation at Cboe.
The options on VIX futures will be European-style, meaning they can onyl be exercised upon expiration. Settlement will occur physically into front-month VIX futures.
What’s next
The launch of options on VIX futures represents Cboe’s ongoing commitment to providing diverse and sophisticated tools for managing market volatility. Market participants can anticipate further innovations in this space as Cboe continues to respond to evolving needs.
Keep reading
- Weak US Jobs Report: Bitcoin and Gold Surge
- The Loan Store becomes Averra Financial following three-year expansion
- Sennheiser, Sonos and Hisense launch new high-end audio and video gear (newsy-today.com)
- How the Launch of the Public Prosecution Office Changes Appeals and Rights for Complainants (archynewsy.com)