Cboe Launches Mini-Russell 2000 Index Binary Options to Expand Prediction Market Suite
Cboe Global Markets (CBOE) has introduced mini-Russell 2000 Index (MRUT) binary options, designated under the ticker MRTBW. These contracts allow investors to engage in 'yes or no' directional trades on small-cap market outcomes, paying out either $100 or $0 based on whether the index settles above or below a specified level. The new product is 1/10th the size of the standard Russell 2000 Index and features P.M.-settled contracts with expirations on the same or next trading day. The launch aims to capture growing retail interest in short-dated, volatile small-cap exposure within a regulated environment. Centrally cleared through the Options Clearing Corporation (OCC), these binary options complement Cboe's existing prediction market suite, which already includes large-cap S&P 500 offerings. This expansion follows record demand for traditional Russell 2000 Index (RUT) options, which saw average daily volumes of 85,000 contracts through the first three quarters of the year.
Topics: Binary Options Index Derivatives Russell 2000 Index Small-cap Stocks