Robinhood to Offer Cboe’s Index Options

Cboe Global Markets and Robinhood Markets announced Robinhood’s upcoming launch of Cboe’s index options on its platform.  For the first time, Robinhood customers will soon be able to trade index options – including Cboe’s flagship S&P 500 Index (SPX) options, Cboe Volatility Index (VIX) options, Russell 2000 Index (RUT) options and Mini SPX (XSP) options – expanding their trading capabilities on its platform. According to a story in Traders Magazine, Cboe’s proprietary suite of index options will provide Robinhood’s customers potential new ways to gain broad U.S. market exposure, hedge against U.S. large-cap and U.S. small-cap equity market volatility, generate income and capitalize on market movements1 on Robinhood’s platform. Index options offer the benefits of cash-settlement (accounts are debited or credited in cash; there is no physical transfer of shares) and European-style exercise (options expire on their expiration date; there is no risk of early assignment). Robinhood makes Cboe Global Indices Feed, which provides real-time index values for products like SPX, VIX and RUT options, available to its customers. The feed may offer additional data to support customers when making their own trading decisions.