CME Group to Launch E-mini Russell 2000 Monday and Wednesday Weekly Options on October 4

Rhea-AI Summary

CME Group announced the launch of E-mini Russell 2000 Monday and Wednesday Weekly options, effective October 4, pending regulatory review. This expansion aims to cater to the growing demand for short-dated options, providing clients with enhanced flexibility for hedging around major market events. The new contracts will complement existing options and are designed to simplify risk management in the small-cap market, benefiting around $10.6 trillion in assets managed against the Russell US indexes.

Positive

• Launch of E-mini Russell 2000 Weekly options on October 4, allowing for enhanced trading flexibility.
• Addresses growing demand for short-dated options, providing clients with a cost-effective toolset for risk management.
• Approximately $10.6 trillion in AUM is benchmarked against Russell US indexes, indicating strong market interest.

Negative

• None.

CHICAGO, Sept. 15, 2021 /PRNewswire/ -- CME Group, the world's leading and most diverse derivatives marketplace, today announced it will launch E-mini Russell 2000 Monday and Wednesday Weekly options on October 4, pending regulatory review. These new options contracts will complement the existing Friday Weekly, End-of-Month and Quarterly options on Russell 2000 futures.

"As the demand for more short-dated options continues to grow, we are expanding our product suite to allow our clients to hedge or trade with enhanced flexibility around major market-moving events," said Tim McCourt, CME Group Global Head of Equity Index and Alternative Investment Products. "Weekly options on our deep, liquid underlying futures contracts also provide market participants with a more cost-effective and efficient toolset to manage risk in the small-cap segment."

"With around $10.6 trillion in AUM benchmarked against the Russell US indexes, FTSE Russell, in collaboration with CME Group, are committed to continuing to develop the underlying risk management markets in the Russell indexes," said Ricardo Manrique, FTSE Russell's Head of Derivatives Strategy. "The E-mini Russell 2000 options provide a highly efficient and cost-effective way to gain market exposure to U.S. small caps, and this latest expansion of the Russell index derivatives complex on CME reflects both the strength of the FTSE Russell index franchise and the ability of CME Group to meet client needs with innovative solutions."

Similar to their counterparts, these new weekly options will be European-style, with a 4 p.m. ET expiry on Mondays and Wednesdays. These contracts are E-mini sized option contracts with a $50 multiplier.

For more information on E-mini Russell 2000 Weekly options, please see www.cmegroup.com/Russellweeklyoptions.

As the world's leading and most diverse derivatives marketplace, CME Group (www.cmegroup.com) enables clients to trade futures, options, cash and OTC markets, optimize portfolios, and analyze data – empowering market participants worldwide to efficiently manage risk and capture opportunities. CME Group exchanges offer the widest range of global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals.  The company offers futures and options on futures trading through the CME Globex® platform, fixed income trading via BrokerTec and foreign exchange trading on the EBS platform.  In addition, it operates one of the world's leading central counterparty clearing providers, CME Clearing.

CME Group, the Globe logo, CME, Chicago Mercantile Exchange, Globex, and, E-mini are trademarks of Chicago Mercantile Exchange Inc.  CBOT and Chicago Board of Trade are trademarks of Board of Trade of the City of Chicago, Inc.  NYMEX, New York Mercantile Exchange and ClearPort are trademarks of New York Mercantile Exchange, Inc.  COMEX is a trademark of Commodity Exchange, Inc. BrokerTec and EBS are trademarks of BrokerTec Europe LTD and EBS Group LTD, respectively.  Dow Jones, Dow Jones Industrial Average, S&P 500 and S&P are service and/or trademarks of Dow Jones Trademark Holdings LLC, Standard & Poor's Financial Services LLC and S&P/Dow Jones Indices LLC, as the case may be, and have been licensed for use by Chicago Mercantile Exchange Inc.  All other trademarks are the property of their respective owners.

CME-G

 

View original content:https://www.prnewswire.com/news-releases/cme-group-to-launch-e-mini-russell-2000-monday-and-wednesday-weekly-options-on-october-4-301377380.html

SOURCE CME Group

FAQ

What are the new options CME Group is launching on October 4?

CME Group is launching E-mini Russell 2000 Monday and Wednesday Weekly options.

Why is CME Group launching E-mini Russell 2000 Weekly options?

To meet the growing demand for short-dated options and enhance flexibility for clients in managing risk.

How much assets are managed against the Russell US indexes?

Approximately $10.6 trillion is benchmarked against the Russell US indexes.

What is the multiplier for the new E-mini Russell 2000 options?

The new options contracts have a $50 multiplier.