On May 2, Cboe EDGX proposed to extend XSPPM, nonstandard pilots.
Cboe EDGX proposed to extend programs in connection with listing, trading of P.M.-settled series on certain broad-based index options, from May 8, 2023 to Nov. 6, 2023.
Also, extend exchange's nonstandard expirations pilot in Cboe EDGX Rule 29.11(j)(3).
XPS Pilot Program
Permits the listing and trading, in addition to A.M.-settled XSP options, of P.M.-settled XSP options with third-Friday-of-the-month expiration dates on a pilot basis.
Exchange stated the belief that continuing to permit the trading of XSP options on a P.M.-settled basis will continue to encourage greater trading in XSP options.
Other than settlement, closing time on last trading day (pursuant to Rule 29.10(a)), contract terms for P.M.-settled XSP options the same as the A.M.-settled XSP options.
Contract use $100 multiplier, minimum trading increments, strike price intervals, expirations same as A.M.-settled; P.M.-settled XSP options are European-style exercise.
EDGX has flexibility to open for trading further series in response to customer demand.
Will still abide by reporting requirements, in process of making data available online.
Nonstandard Expiration
Permits listing, trading, on a pilot basis, of P.M.-settled options on broad-based indexes with nonstandard expiration dates, and is currently set to expire on May 8, 2022.
Pilot permitted both weeklys and End-of-month expirations (EOMs) and P.M-settled.
Contract terms similar to A.M.-settled broad-based index options, only P.M.-settled.
Reporting requirements continued for this pilot as well, data published publicly online.
Consultation
Comments must be submitted within 21-days of publication in the federal register.
May 5, 2023 SEC Approval
On May 5, 2023, SEC approved proposed rule change to extend the pilot programs.
May 11, 2023 SEC EDGX, BZX Fed Reg Approvals
On May 11, 2023, SEC published approval of Cboe EDGX proposal, immediate effect.
SEC also published approval of BZX proposal in federal register for immediate effect.
Cboe BZX initially filed proposal on May 2, 2023 and SEC approved on May 5, 2023.
Sep. 2023 SEC Approval of EDGX, BZX Extensions
On Sep. 28, 2023, SEC issued notice of filling and approval of Cboe EDGX and BZX proposals to extend pilot programs, through May 6, 2024, for immediate effectiveness.
Oct. 2023 SEC Fed Reg Approvals
On Oct. 4, 2023, SEC published approvals of BZX, EDGX proposals in federal register.
