CBOE announced it will list options on the MSCI Emerging Markets Index and MSCI EAFE Index on April 21.
The exclusive licensing deal with MSCI, is part of the CBOE’s efforts to expand its index coverage well beyond the US market. It also recently signed an exclusive deal to list FTSE and Russell Index products on CBOE.
While those indexes have not traditionally drawn much volume on exchanges, CBOE believes that they will be able to garner more interest from traders and institutions by concentrating the liquidity onto its platform. The exchange also believes that in the case of MSCI, there has been a robust OTC market for the index. But now, more participants are looking for a listed product than in years past.
“Timing on new products is key,” said Ed Tilly, CEO of CBOE. “Some were launched too early and not ready for prime time.”
On the FTSE and Russell Indexes, CBOE is working in tandem with the London Stock Exchange to develop volume in those products for both equities in London and options at CBOE.
CBOE also plans to launch options this year on the MSCI’s ACWI, USA, World and ACWI ex-US Indexes. It also plans to list contracts on the FTSE GEIS, EPRA/NAREIT and FTSE China 50 as well as several Russell Indexes, which will be exclusively offered on CBOE starting on April 1.

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