15 Aug 2025
📈Cboe's Proposed Rule Change for ETF Options Trading
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Interpretation and Policy .06 of Rule 4.3 To Permit the Listing of Options on an Exchange-Traded Fund as Defined in Rule 6c-11 Under the Investment Company Act of 1940
Summary
The Securities and Exchange Commission has announced Cboe Exchange's proposed rule change, enabling the listing of options on exchange-traded funds (ETFs). This amendment aims to enhance trading efficiency and risk management for investors by providing clearer pathways for market participants to trade these options, fostering a more robust securities market.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change allows the listing of options on exchange-traded funds (ETFs), which creates new opportunities for financial institutions and investors to manage risk. It streamlines the process of bringing these options to market and aligns trading standards with the enhanced transparency of ETF shares.