CFE and CBOE to Launch Futures and Options on Crude Oil ETF Volatility Index
CHICAGO and BOCA RATON, Fla., March 14, 2012 /PRNewswire/ -- CBOE Holdings, Inc. (NASDAQ: CBOE) announced today that Chicago Board Options Exchange (CBOE) and CBOE Futures Exchange (CFE) will each launch a new volatility index product based on the CBOE Crude Oil ETF Volatility Index (OVX) in coming weeks.
CBOE Crude Oil ETF Volatility Index security futures (OV) will begin trading on CFE on Monday, March 26, and options on the OVX Index will begin trading on CBOE on Tuesday, April 10.
OVX Index products, based on listed options prices of the United States Oil Fund, LP (USO) — the ninth most-actively-traded ETF options contract in the U.S. last year — will allow traders to hedge volatility risk associated with crude oil futures prices.
CBOE began disseminating values on the OVX Index in 2008. The OVX Index calculation is derived from applying CBOE's VIX® methodology to the prices of CBOE-listed options on USO.
OVX Index products will be the most recent additions to a series of CBOE and CFE volatility index products launched this year. CFE began trading CBOE Emerging Markets ETF Volatility Index security futures (VXEM) on January 9, and CBOE began trading CBOE Emerging Markets ETF Volatility Index (VXEEM) options on January 31. CBOE Brazil ETF Volatility Index security futures (VXEW) and CBOE Brazil ETF Volatility Index (VXEWZ) options opened for trading on February 21 on CFE and on March 6 on CBOE, respectively.
Barclays Capital will serve as the Lead Market Maker (LMM) for OV security futures traded on CFE, and Group One Trading will serve as the Designated Primary Market Marker (DPM) for OVX options traded on CBOE.
CBOE, the leading innovator in the volatility space and the home of volatility indexes, currently publishes data on more than two dozen volatility-related benchmarks and strategies. See www.cboe.com/volatility for more information on all CBOE volatility indexes. For more information on the CBOE Crude Oil ETF Volatility Index benchmarks and products, see www.cboe.com/OVX.
CBOE Holdings, Inc. (NASDAQ: CBOE) is the holding company for Chicago Board Options Exchange (CBOE), C2 Options Exchange and other subsidiaries. CBOE, the largest U.S. options exchange and creator of listed options, continues to set the bar for options trading through product innovation, trading technology and investor education. CBOE offers equity, index and ETF options, including proprietary products, such as S&P 500 options (SPX), the most active U.S. index option, and options on the CBOE Volatility Index (the VIX Index). Other products engineered by
CBOE include equity options, security index options, LEAPS options, FLEX options, and benchmark products such as the CBOE S&P 500 BuyWrite Index (BXM). CBOE's Hybrid Trading System incorporates electronic and open-outcry trading, enabling customers to choose their trading method. CBOE's Hybrid is powered by CBOEdirect, a proprietary, state-of-the-art electronic platform that also supports C2 Options Exchange (C2), CBOE Futures Exchange (CFE), CBOE Stock Exchange (CBSX) and OneChicago. CBOE is home to the world-renowned Options Institute and www.cboe.com, named "Best of the Web" for options
information and education. CBOE is regulated by the Securities and Exchange Commission (SEC), with all trades cleared by the OCC.
CBOE®, Chicago Board Options Exchange®, CBSX®, CBOE Stock Exchange®, CFE®, CBOEdirect®, FLEX®, Hybrid®, LEAPS®, CBOE Volatility Index® and VIX® are registered trademarks, and CBOE Brazil ETF Volatility Index(SM), VXEWZ(SM), CBOE Crude Oil ETF Volatility Index (SM), OVX (SM), CBOE Emerging Markets ETF Volatility Index(SM), VXEEM(SM), CBOE Emerging Market Brazil ETF Index (SM), VXEWZ (SM), BuyWrite(SM), BXM(SM), CBOE Futures Exchange(SM), SPX(SM) and The Options Institute(SM) are servicemarks of Chicago Board Options Exchange, Incorporated (CBOE). SPXpm(SM), C2(SM) and C2 Options Exchange
(SM) are servicemarks of C2 Options Exchange, Incorporated. Standard & Poor's®, and S&P 500® are registered trademarks of Standard & Poor's Financial Services, LLC., and have been licensed for use by CBOE and C2.
SOURCE CBOE Holdings, Inc.