Cboe Europe, EuroCCP get Dutch regulatory approvals for new derivatives market
Cboe Europe, the pan-European exchange operator and subsidiary of Cboe Global Markets, Inc, today announced that it has received the necessary regulatory approvals to launch Cboe Europe Derivatives, a new Amsterdam-based futures and options market, on 6 September, 2021.
Cboe Europe B.V. (Cboe NL), Cboe Europe’s subsidiary in Amsterdam, is now authorized to operate a Regulated Market for equity index futures and options, which will be regulated by the Dutch Authority for the Financial Markets (AFM). EuroCCP, Cboe’s pan-European CCP, is also granted permission by the Central Bank of the Netherlands (DNB) to clear equity derivatives.
Cboe Europe Derivatives is planned to launch with the trading of futures and options based on six Cboe Europe indices: the Cboe Eurozone 50, Cboe UK 100, Cboe Netherlands 25, Cboe Switzerland 20, Cboe Germany 30, and Cboe France 40 – all calculated using Cboe market data. EuroCCP will provide clearing services for the platform.
The exchange plans to add futures and options on additional European benchmarks, along with single stock options, at a later date, based on customer demand and subject to regulatory approval.
Ade Cordell, president of Cboe NL, said: “We are delighted to reach this significant milestone for Cboe Europe Derivatives. The regulatory approval for a competitive and pan-European marketplace for equity derivatives is expected to accelerate the momentum we are seeing from market participants for an efficient market designed to address their needs. The launch of this exchange is a critical step in realizing Cboe’s overarching vision to build one of the world’s largest derivatives and securities networks, creating a consistent, world-class experience for our global customer base.”
Cécile Nagel, president of EuroCCP, said:
“This marks a watershed moment in EuroCCP’s growth strategy, as it diversifies beyond cash equities and becomes a truly multi-asset class clearing house. We look forward to supporting Cboe Europe Derivatives in helping to bring efficiencies and cost savings to participants in Europe’s equity derivatives market, particularly through portfolio margining.”
The new exchange will leverage Cboe’s global derivatives expertise and European equity trading and clearing footprint to help bring a modern, on-screen market structure utilized in the U.S. to Europe and to help grow the region’s equity derivatives market overall. By taking a pan-European approach, Cboe Europe Derivatives will help enable market participants to access a vibrant derivatives market through a single access point, creating efficiencies in trading and clearing.