CFE To Launch S&P 500 Variance Futures On December 10

            CFE To Launch S&P 500 Variance Futures On December 10

New Contract Mirrors Quoting Conventions and Economic Performance of
Over-the-Counter S&P 500 Variance Swaps

PR Newswire

CHICAGO, Dec. 3, 2012

CHICAGO, Dec. 3, 2012 /PRNewswire/ -- CBOE Futures Exchange, LLC (CFE)
announced today that it plans to launch trading in S&P 500 Variance futures on
Monday, December 10. 

(Logo: http://photos.prnewswire.com/prnh/20100707/CBOELOGO-b)

The S&P 500 Variance futures contract, like over-the-counter (OTC) variance
swaps, allows users to trade the difference between the implied and realized
variance of the S&P 500 Index. CFE's variance futures contract will offer the
same quoting conventions and economic performance of OTC variance swaps and
will provide the advantages of exchange-traded contracts -- transparency,
price discovery and counterparty clearing guarantees.

The new S&P 500 Variance futures contract is designed to offer benefits to
both existing OTC users and to customers who have not traditionally
participated in the OTC variance swap market.

"The S&P 500 Variance futures contract is our latest effort to attract
over-the-counter participants to our marketplace by customizing our
proprietary products and services to fit their needs," CBOE Holdings President
and COO Edward T. Tilly said. "We're seeing OTC market participants
increasingly look to exchange-traded products to mitigate risk, and S&P 500
Variance futures will be an appealing addition to our line of OTC-like
products."

CFE will also begin a Lead Market Maker Program (LMM) for S&P 500 Variance
futures, and an affiliate of DRW Trading Group has been approved as an LMM.
DRW Trading Group is a principal trading organization that trades across a
wide range of asset classes for its own account.

For more information on S&P 500 Variance futures:
www.cfe.cboe.com/Products/Products_VA.aspx.

About CBOE Futures Exchange:
CFE currently offers nine contracts: CBOE Volatility Index (The VIX Index)
futures (VX), Mini-VIX futures (VM), CBOE Nasdaq-100 Volatility Index (VXN)
futures (VN), CBOE Gold ETF Volatility Index (GVZ) security futures (GV), CBOE
Crude Oil ETF Volatility Index (OVX) security futures (OV), CBOE Emerging
Markets ETF Volatility Index (VXEEM) security futures (VXEM), CBOE Brazil ETF
Volatility Index (VXEWZ) security futures (VXEW), CBOE S&P 500 3-Month
Variance futures (VT), and Radar Logic 25-Metropolitan Statistical Area (MSA)
RPX Composite Index futures (RPXCP). CFE, a wholly-owned subsidiary of CBOE
Holdings, Inc. (NASDAQ: CBOE), offers an all-electronic, open-access market
model, with traders providing liquidity and making markets. CFE is regulated
by the Commodity Futures Trading Commission (CFTC) and all trades are cleared
by the OCC. More information on CFE and its products, including contract
specifications, can be found at: http://cfe.cboe.com/.

CBOE-EF

CBOE®, Chicago Board Options Exchange®, CFE®, CBOE Volatility Index® and VIX®
are registered trademarks, and CBOE Futures Exchange^SM, CBOE Brazil ETF
Volatility Index^SM, VXEW^SM, CBOE Crude Oil ETF Volatility Index^SM, OVX^SM,
CBOE Emerging Markets ETF Volatility Index^SM, VXEM^SM, CBOE Emerging Market
Brazil ETF Index^SM, VXEW^SM, GVZ^SM, VOW^SM and Weeklys^SM are servicemarks
of Chicago Board Options Exchange, Incorporated (CBOE). Standard & Poor's®,
S&P® and S&P 500® are registered trademarks of Standard & Poor's Financial
Services, LLC, and have been licensed for use by CBOE and CFE. The Nasdaq-100
Index®, Nasdaq-100®, and Nasdaq® are trademark or service marks of The Nasdaq
Stock Market, Inc. (with which its affiliates are the "Corporations"). These
marks are licensed for use by CBOE in connection with the trading of products
based on the Nasdaq-100 Index. The products have not been passed on by the
Corporations as to their legality or suitability. The products are not issued,
endorsed, sold or promoted by the Corporations. THE CORPORATIONS MAKE NO
WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THE PRODUCT(S). All other
trademarks and servicemarks are the property of their respective owners.

SOURCE CBOE Futures Exchange, LLC

Website: http://cfe.cboe.com
Contact: Media, Gail Osten, +1-312-786-7123, osten@cboe.com or Gary Compton,
+1-312-786-7612, comptong@cboe.com, or Analysts, Debbie Koopman,
+1-312-786-7136, koopman@cboe.com
 
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