Ed Tilly, Chairman, President and Chief Executive Officer of Cboe Global Markets, said:
As the pioneer of the VIX Index and volatility trading, Cboe is pleased to further expand our VIX product suite with a mini contract that aims to bring VIX futures trading to a larger universe of investors and serve a variety of investment needs. Designed to provide broad market volatility exposure in a more manageably sized, cost effective contract, the flexibility of Mini VIX futures may also create new trading opportunities and offer additional tools for market participants to construct their own views on volatility or to tailor their own volatility strategies using Mini VIX futures.
VIX futures were introduced by CFE in 2004. They provide market participants with opportunities to trade their assessment of the future direction of the expected volatility of the S&P 500® Index. VIX futures also enables market participants to trade a liquid volatility product based directly on the VIX Index, assisting them with risk management, generating alpha or diversify a portfolio.
VIX futures are tailored to reflect the market’s estimate of the value of the VIX Index on different expiration dates in the future, providing market participants with opportunities to implement their views using volatility trading strategies. A total of 486.5 million VIX futures contracts have traded at CFE since their launch.
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