15 May 2025
📈Cboe Proposes to Eliminate Position Limits for Specific Options
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change To Eliminate Position and Exercise Limits for Options on the S&P 500 Equal Weight Index and the S&P 500 ESG Index
Summary
The Securities and Exchange Commission is reviewing Cboe Exchange's proposed rule change to eliminate position and exercise limits for options on the S&P 500 Equal Weight Index and the S&P 500 ESG Index. The decision on this proposal, initially expected by May 2025, has been extended to June 30, 2025, to allow for thorough consideration of the associated issues.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change to eliminate position and exercise limits for options on specific indices could significantly impact trading strategies and market liquidity for businesses involved in options trading. This change may also affect how companies manage risk and leverage in the derivatives market.