CHICAGO, March 26,
2024 /PRNewswire/ -- Cboe Global Markets, Inc.
(Cboe: CBOE), the world's leading derivatives and securities
exchange network, today marked the 20th anniversary of
Cboe Futures Exchange (CFE) and the trading of Cboe Volatility
Index (VIX) futures. CFE was launched to provide a liquid and
transparent on-exchange volatility futures offering, with VIX
futures being the first product listed in 2004.
On March 26, 2004, CFE
successfully opened for trading, with 449 VIX futures contracts
trading on the all-electronic exchange. Based on the VIX Index,
which has served as a premier gauge for U.S. equity market
sentiment since its launch in 1993, VIX futures are among the most
actively traded exchange-listed volatility futures in the world,
with total volumes reaching 53.7 million contracts in 2023. VIX
futures, and the addition of VIX options in 2006, were a pivotal
first step in making volatility a tradable asset class, breaking
down access barriers for investors and paving the way for the
development of a comprehensive ecosystem including additional
futures, options and other exchange-traded products (ETPs)
utilizing these derivatives.
"Cboe has been a pioneer in the volatility space and helped
establish volatility as a tradeable asset class with the launch of
VIX futures in 2004, and 20 years later, we remain steadfast in our
approach to developing sophisticated strategies into
exchange-listed futures," said Laura
Fuson, Vice President and Head of Futures at Cboe Global
Markets. "Cboe Futures Exchange offers participants access to
liquid and transparent risk management solutions and the ability to
trade volatility around major market events, such as economic data
or elections. By continuing to work with our partners and clients,
we aim to build upon Cboe's rich history of innovation and help
provide investors the tools they seek to better manage their
portfolios."
VIX futures reflect the market's estimate of the value of the
VIX Index on various expiration dates in the future and can provide
market participants with a variety of opportunities to implement
their view of U.S. equity market volatility using risk management,
alpha generation and portfolio diversification trading strategies.
The VIX Index is designed to measure 30-day expected volatility of
the U.S. stock market using S&P 500 Index options. Through
Cboe's global trading hours session, VIX futures are available to
investors around the world nearly 24 hours a day, five days a
week.
Today, two decades after its launch, CFE continues to break down
access barriers and bring complex trades to the exchange-listed,
centrally cleared environment. CFE has expanded beyond
traditional VIX futures and now offers weekly expirations for VIX
futures, a smaller VIX futures contract size designed to be
more accessible, and transparent and efficient risk management
solutions for fixed income markets through U.S. corporate bond
index futures and options on those futures.
Along with Cboe Labs, Cboe's in-house innovation arm, CFE is
exploring additional product offerings including new S&P 500
Variance Futures and futures tied to the Cboe S&P 500
Dispersion Index (DSPX), both subject to regulatory review.
Cboe's S&P 500 Variance futures are expected to be cash-settled
contracts based on the realized variance of the S&P 500 Index
and their design is expected to leverage market feedback from
Cboe's previous variance futures offerings. DSPX futures could
potentially help investors manage their exposure to the S&P 500
Index and express expected dispersion views. Both products aim to
transform complex trades into accessible, exchange-listed
offerings.
Learn more about all of CFE's offerings at
https://www.cboe.com/us/futures/.
About Cboe Global Markets
Cboe Global Markets (Cboe:
CBOE), the world's leading derivatives and securities exchange
network, delivers cutting-edge trading, clearing and investment
solutions to people around the world. Cboe provides trading
solutions and products in multiple asset classes, including
equities, derivatives, FX, and digital assets, across North America, Europe and Asia
Pacific. Above all, we are committed to building a trusted,
inclusive global marketplace that enables people to pursue a
sustainable financial future. To learn more about the Exchange for
the World Stage, visit www.cboe.com.
Cboe Media Contacts
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Cboe Analyst Contact
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Angela Tu
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Tim Cave
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Kenneth Hill, CFA
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+1-646-856-8734
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+44 (0)
7593-506-719
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+1-312-786-7559
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atu@cboe.com
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tcave@cboe.com
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khill@cboe.com
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CBOE-F
CBOE-OE
Cboe®, Cboe Global Markets®, Cboe Volatility Index®, and VIX®
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Investors should undertake their own due diligence regarding their
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Nothing in this announcement should be considered a
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Options involve risk and are not suitable for all market
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Trading in futures and options on futures is not suitable for
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carefully consider whether trading in futures and options on
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respectively the Risk Disclosure Statement Referenced
in CFTC Letter 16-82 and the Risk
Disclosure Statement for Security Futures Contracts.
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and options on futures are not sponsored, endorsed, sold or
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The iBoxx® iShares® $ High Yield
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SOURCE Cboe Global Markets, Inc.