Cboe Plans to Launch Cash-Settled Futures and Options on New Index Tracking Tech and Growth-Orientated U.S. Stocks

New Cboe Magnificent 10 Index (MGTEN Index) will measure a fixed set of actively traded U.S.-listed stocks Planned cash-settled MGTEN Index options to allow for nearly 24x5 and shorter-dated options trading Launch is latest push by Cboe to meet robust retail investor appetite for derivatives , /PRNewswire/ -- Cboe Global Markets, Inc. (Cboe: CBOE), the world's leading derivatives and securities exchange network, today announced plans to launch futures and options on the new Cboe Magnificent 10 Index, subject to regulatory review. The new product suite will offer investors a way to gain targeted exposure to several of the most actively traded AI technology-focused stocks through cash-settled index futures and options. The Cboe Magnificent 10 Index, launching soon, is a thematic, equal-weighted benchmark designed to measure the price return of 10 U.S.-listed large-cap stocks of technology and growth-orientated companies. The current constituents include all the Magnificent 7 stocks (Alphabet, Apple, Amazon, Meta, Microsoft, Nvidia, and Tesla), in addition to Advanced Micro Devices (AMD), Broadcom, and Palantir. The value of the MGTEN Index will be available on the Cboe Global Indices Feed via the Cboe Global Indices Channel. Cboe intends to list futures and options on the Cboe Magnificent 10 Index that will trade on a nearly 24x5 basis, providing a comprehensive suite of tools for market participants seeking to manage risk, enhance yield, and express their views on the most dynamic segment of the U.S. equity landscape. "Both institutional and retail traders are increasingly looking for smarter ways to gain exposure to the most influential, market-moving stocks – along with tools to manage their positions and hedge risk more precisely, both intraday and around the clock," said Cathy Clay, Global Head of Derivatives at Cboe, at the HOOD Summit in Las Vegas. "With our new MGTEN Index futures and options, we're bringing the best of Cboe's indexing and derivatives expertise to meet this demand. These products deliver curated exposure to a select group of high-impact stocks in a single solution – rather than managing 10 separate positions – while helping to reduce the concentration risk that may come with trading individual stocks. In particular, as market participants increasingly utilize cash-settled index options for short-dated strategies, we believe MGTEN options will similarly be a powerful tool for implementing daily trading strategies around these in-demand stocks." MGTEN options will be cash-settled and European-style, eliminating physical delivery and the potential for early exercise, differentiating these from options on the stock components. Along with the standard monthly A.M.-settled expirations, Cboe plans to list weekly P.M.-settled options with expiries on each trading day, offering investors across the globe the ability to trade zero-days-to-expiry (0DTE) options on the index. 0DTE trading has grown significantly in recent years as investors seek the utility short-dated options can provide, including the ability to tactically hedge, more granularly manage intraday risk, and implement daily yield-generating strategies. MGTEN options will be listed and traded on Cboe Exchange, Inc. (Cboe Options). The planned cash-settled MGTEN futures will be listed and traded on Cboe Futures Exchange (CFE). MGTEN futures will offer a capital-efficient way to gain exposure to the most influential tech stocks through a single tradable product. Futures provide a way to diversify portfolios with inherent leverage, empowering investors to take larger positions with smaller upfront capital, while offering the precise ability to hedge, speculate, or enter a short position. Both the MGTEN Index futures and options will be cleared by the Options Clearing Corporation (OCC), potentially allowing for margin offsets. Cboe aims to launch the MGTEN Index monthly options and futures in the fourth quarter of 2025, with the weekly P.M.-expiring options to begin trading in the first quarter of 2026, all subject to regulatory review. At launch, MGTEN Index futures and options trading will be available during regular trading hours and Cboe plans to extend availability through its Global Trading Hours at a later date. For more details on the index and its tradable products, visit the pre-launch resource hub here. 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 and FX 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-CCBOE-OE Cboe®, Cboe Global Markets®, CFE®, and Cboe Futures Exchange® are registered trademarks, and Cboe Magnificent 10 IndexSM is a service mark of Cboe Global Markets, Inc. and its subsidiaries. All other trademarks and service marks are the property of their respective owners. Use of third-party trademarks and service marks does not imply an affiliation with or endorsement by the trademark owner and all references by Cboe to third-party trademarks are intended to constitute nominative fair use under applicable trademark laws. Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options (ODD). Copies of the ODD are available from your broker or from The Options Clearing Corporation, 125 S. Franklin Street, Suite 1200, Chicago, IL 60606. Cboe Global Markets, Inc. and its affiliates do not recommend or make any representation as to possible benefits from any securities, futures or investments, or third-party products or services. Cboe Global Markets, Inc. is not affiliated with S&P or the third-party sites referenced in this press release. Investors should undertake their own due diligence regarding their securities, futures, and investment practices. This press release speaks only as of this date. Cboe Global Markets, Inc. disclaims any duty to update the information herein. Nothing in this announcement should be considered a solicitation to buy or an offer to sell any securities or futures in any jurisdiction where the offer or solicitation would be unlawful under the laws of such jurisdiction. Nothing contained in this communication constitutes tax, legal or investment advice. Investors must consult their tax adviser or legal counsel for advice and information concerning their particular situation. Cboe Global Markets, Inc. and its affiliates make no warranty, expressed or implied, including, without limitation, any warranties as of merchantability, fitness for a particular purpose, accuracy, completeness or timeliness, the results to be obtained by recipients of the products and services described herein, or as to the ability of the indices referenced in this press release to track the performance of their respective securities, generally, or the performance of the indices referenced in this press release or any subset of their respective securities, and shall not in any way be liable for any inaccuracies, errors. Cboe Global Markets, Inc. and its affiliates have not calculated, composed or determined the constituents or weightings of the securities that comprise the third-party indices referenced in this press release and shall not in any way be liable for any inaccuracies or errors in any of the indices referenced in this press release. There are important risks associated with transacting in any of the Cboe Company products discussed here. Before engaging in any transactions in those products, it is important for market participants to carefully review the disclosures and disclaimers contained at: https://www.cboe.com/us_disclaimers/. Cautionary Statements Regarding Forward-Looking InformationThis press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. You can identify these statements by forward-looking words such as "may," "might," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential," or "continue," and the negative of these terms and other comparable terminology. All statements that reflect our expectations, assumptions or projections about the future other than statements of historical fact are forward-looking statements. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance based on our growth strategies and anticipated trends in our business. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by the forward-looking statements.We operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible to predict all risks and uncertainties, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.Some factors that could cause actual results to differ include: the loss of our right to exclusively list and trade certain index options and futures products; economic, political and market conditions; compliance with legal and regulatory obligations; price competition and consolidation in our industry; decreases in trading or clearing volumes, market data fees or a shift in the mix of products traded on our exchanges; legislative or regulatory changes or changes in tax regimes; our ability to protect our systems and communication networks from security vulnerabilities and breaches; our ability to attract and retain skilled management and other personnel, increasing competition by foreign and domestic entities; our dependence on and exposure to risk from third parties; factors that impact the quality and integrity of our and other applicable indices; our ability to manage our global operations, growth, and strategic acquisitions or alliances effectively; increases in the cost of the products and services we use; our ability to operate our business without violating the intellectual property rights of others and the costs associated with protecting our intellectual property rights; our ability to minimize the risks, including our credit, counterparty investment, and default risks, associated with operating our clearinghouses; our ability to accommodate trading and clearing volume and transaction traffic, including significant increases, without failure or degradation of performance of our systems; misconduct by those who use our markets or our products or for whom we clear transactions; challenges to our use of open source software code; our ability to meet our compliance obligations, including managing our business interests and our regulatory responsibilities; the loss of key customers or a significant reduction in trading or clearing volumes by key customers; our ability to maintain BIDS Trading as an independently managed and operated trading venue, separate from and not integrated with our registered national securities exchanges; damage to our reputation; the ability of our compliance and risk management methods to effectively monitor and manage our risks; restrictions imposed by our debt obligations and our ability to make payments on or refinance our debt obligations; our ability to maintain an investment grade credit rating; impairment of our goodwill, long-lived assets, investments or intangible assets; the accuracy of our estimates and expectations; and litigation risks and other liabilities. More detailed information about factors that may affect our actual results to differ may be found in our filings with the SEC, including in our Annual Report on Form 10-K for the year ended December 31, 2024 and other filings made from time to time with the SEC.We do not undertake, and we expressly disclaim, any duty to update any forward-looking statement whether as a result of new information, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. SOURCE Cboe Global Markets, Inc. WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

Cboe Plans to Launch Cash-Settled Futures and Options on New Index Tracking Tech and Growth-Orientated U.S. Stocks

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