CBOE and CFE to Expand ETF-Based Volatility Index Products

February 17, 2012

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Brazil ETF Volatility Index Futures and Options Next New Listings

CHICAGO, Feb. 17, 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 ETF-based volatility index product in the coming weeks:

  • CBOE Brazil ETF Volatility Index security futures (VXEW) - Tuesday, February 21 on CFE
  • CBOE Brazil ETF Volatility Index options (VXEWZ) - Tuesday, March 6 on CBOE

 

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The calculation of the CBOE Brazil ETF Volatility Index is derived from applying CBOE's VIX® methodology to the prices of CBOE listed options on the iShares MSCI Brazil Index Fund (ETF symbol: EWZ).  EWZ options were the seventeenth most actively traded ETF options in the U.S. last year.

"We continue to see tremendous interest in trading VIX options and futures and our other volatility-related products and are committed to building our volatility franchise to meet this investor demand," said CBOE Holdings Chairman and CEO William J. Brodsky. "Expanding our roster of volatility options and futures products into sectors such as emerging markets is the next step in this evolution."

The CBOE Brazil ETF Volatility Index products are the latest in a series of CBOE and CFE volatility index product launches in 2012.  CFE began trading CBOE Emerging Markets ETF Volatility Index security futures (futures symbol: VXEM) on January 9, and options trading on VXEEM began on January 31 on CBOE.   

Barclays Capital will serve as the Lead Market Maker (LMM) for the CBOE Brazil ETF Volatility Index security futures at CFE.  Group One Trading will serve as the Designated Primary Market Marker (DPM) for VXEWZ options at 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 Brazil ETF Volatility Index benchmarks and products, see www.cboe.com/VXEWZ

CBOE Holdings, Inc. (NASDAQ: CBOE) is the holding company for Chicago Board Options Exchange (CBOE), CBOE Futures Exchange (CFE), 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.

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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 Emerging Markets ETF Volatility Index(SM), VXEEM(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.

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