The Chicago Board Options Exchange (CBOE) plans to launch options on the CBOE Nasdaq-100 Volatility Index (ticker symbol VXN) and the CBOE Russell 2000 Volatility Index (ticker symbol RVX) beginning Thursday, September 27, 2007, under licensing agreements with The Nasdaq Stock Market, Inc. and The Russell Investment Group.
These two new contracts expand the suite of volatility products offered exclusively at CBOE and the CBOE Futures Exchange (CFE). CBOE will now offer options on three of CBOE’s volatility benchmarks, as VXN and RVX options will join the popular CBOE Volatility Index (VIX) options.
At the CBOE Futures Exchange, futures on six volatility products are currently offered for trading.
“CBOE pioneered the volatility space with the creation of the CBOE Volatility Index (VIX), the preeminent measure of market volatility,” says CBOE Chairman and CEO William J. Brodsky. “Subsequently, CBOE’s introduction of options and futures on VIX made volatility itself a tradable asset class.”