Cboe Plans Micro Options on S&P 500 to Entice Day Traders
- Nano contracts will be 1/100 the size of S&P 500 minis
- Cboe hopes to capture more of the retail trading market
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Cboe Global Markets Inc. plans to launch a micro-sized S&P 500 options contract next year – dubbed “nanos” – aimed squarely at the day-trading army.
The contracts will be a fraction of the size of existing S&P 500 options, allowing speculators to make bets with less money. CBOE said in a statement that it wants to make options “accessible for the everyday retail trader” and the smaller contract size will be suitable for beginners.