Notice2026-08471
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing of a Proposed Rule Change To Permit the Listing of A.M.-Settled Options on the S&P 500 Index that Expire on Any Monday, Tuesday, Wednesday, Thursday, or Friday (other than the Third Friday-of-the-Month or Days that Coincide With an End-of-Month Expiration) and Expire on the Last Trading Day of the Month
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 1, 2026
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 91 Issue 84 (Friday, May 1, 2026)</title>
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[Federal Register Volume 91, Number 84 (Friday, May 1, 2026)]
[Notices]
[Pages 23499-23503]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-08471]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-105320; File No. SR-CBOE-2026-044]
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of
Filing of a Proposed Rule Change To Permit the Listing of A.M.-Settled
Options on the S&P 500 Index that Expire on Any Monday, Tuesday,
Wednesday, Thursday, or Friday (other than the Third Friday-of-the-
Month or Days that Coincide With an End-of-Month Expiration) and Expire
on the Last Trading Day of the Month
April 28, 2026.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on April 27, 2026, Cboe Exchange, Inc. (``Exchange'' or ``Cboe
Options'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the Exchange. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe Options'') proposes
to amend its rules to permit the listing of A.M.-settled options on the
S&P 500 Index (``SPX'' or ``SPX options'') that expire (1) on any
Monday, Tuesday, Wednesday, Thursday, or Friday (other than the third
Friday-of-the-month or days that coincide with an end-of-month
expiration) and (2) the last trading day of the month. The text of the
proposed rule change is provided in Exhibit 5.
The text of the proposed rule change is also available on the
Commission's website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>), the
Exchange's website (<a href="https://www.cboe.com/us/options/regulation/rule_filings/bzx/">https://www.cboe.com/us/options/regulation/rule_filings/bzx/</a>), and at the principal office of the Exchange.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Exchange included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The Exchange has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend its rules to permit the listing of
A.M.-settled SPX options that expire (1) on any Monday, Tuesday,
Wednesday, Thursday, or Friday (other than the third Friday-of-the-
month or days that coincide with an end-of-month expiration) (``A.M.-
Settled Weekly Expirations'') and (2) on the last trading day of the
month (``EOMs'' or ``EOM Expirations'').
Background
Historical context
By way of background, when cash-settled \3\ index options were
first introduced in the 1980s, settlement was based on the closing
value of the underlying index on the option's expiration date. The
Commission later became concerned about the impact of P.M.-settled,
cash-settled index options on the markets for the underlying stocks at
the close on expiration Fridays. Specifically, certain episodes of
price reversals around the close on quarterly expiration dates
attracted the attention of regulators to the possibility that the
simultaneous expiration of index futures, futures options, and options
might be inducing abnormal volatility in the index value around the
close.\4\ Academic research at the time provided at least some evidence
suggesting that futures and options expirations contributed to excess
volatility and reversals around the close on those days.\5\ In light of
the concerns with P.M. settlement and to help ameliorate the price
effects associated with expirations of P.M.-settled, cash-settled index
products, in 1987, the Commodity Futures Trading Commission (``CFTC'')
approved a rule change by the Chicago Mercantile Exchange (``CME'') to
provide for A.M. settlement \6\ for index futures, including futures on
the S&P 500.\7\ The Commission subsequently approved a rule change by
Cboe Options to list and trade A.M.-settled SPX options.\8\ In 1992,
the Commission approved Cboe Options' proposal to transition all of its
European-style cash-settled options on the S&P 500 Index to A.M.
settlement.\9\
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\3\ The seller of a ``cash-settled'' index option pays out the
cash value of the applicable index on expiration or exercise. A
``physically settled'' option, like equity and ETF options, involves
the transfer of the underlying asset rather than cash. See
Characteristics and Risks of Standardized Options, available at:
<a href="https://www.theocc.com/Company-Information/Documents-and-Archives/Options-Disclosure-Document">https://www.theocc.com/Company-Information/Documents-and-Archives/Options-Disclosure-Document</a>.
\4\ The close of trading on the quarterly expiration Friday
(i.e., the third Friday of March, June, September and December),
when options, index futures, and options on index futures all expire
simultaneously, became known as the ``triple witching hour.''
\5\ See Securities and Exchange Commission, Division of Economic
Risk and Analysis, Memorandum, Cornerstone Analysis of PM Cash-
Settled Index Option Pilots (February 2, 2021) (``DERA Staff PM
Pilot Memo'') at 5, available at: <a href="https://www.sec.gov/files/Analysis_of_PM_Cash_Settled_Index_Option_Pilots.pdf">https://www.sec.gov/files/Analysis_of_PM_Cash_Settled_Index_Option_Pilots.pdf</a>.
\6\ The exercise settlement value for an A.M.-settled index
option is determined by reference to the reported level of the index
as derived from the opening prices of the component securities on
the business day before expiration.
\7\ See Securities Exchange Act Release No. 24367 (April 17,
1987), 52 FR 13890 (April 27, 1987) (SR-CBOE-87-11) (noting that CME
moved S&P 500 futures contract's settlement value to opening prices
on the delivery date).
\8\ See id.
\9\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SR-CBOE-92-09). Thereafter, the
Commission approved proposals by the options markets to transfer
most of their cash-settled index products to A.M. settlement.
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In 1993, the Commission approved a rule allowing Cboe Options to
list P.M.-settled options on certain broad-based indices, including the
S&P 500, expiring at the end of each calendar quarter (``Quarterly
Index Expirations'') (since adopted as permanent).\10\ In September
2010, the Commission approved a rule change that established a pilot
program under which the Exchange is permitted
[[Page 23500]]
to list P.M.-settled options on broad-based indexes to expire on (a)
any Friday of the month, other than the third Friday-of-the-month, and
(b) the last trading day of the month.\11\ On January 14, 2016, the
Commission approved a Cboe Options proposal to expand the pilot program
to allow P.M.-settled options on broad-based indexes to expire on any
Wednesday of month, other than those that coincide with an EOM.\12\ On
August 10, 2016, the Commission approved a Cboe Options proposal to
expand the pilot program to allow P.M.-settled options on broad-based
indexes to expire on any Monday of month, other than those that
coincide with an EOM.\13\ On April 12, 2022, the Commission approved a
Cboe Options proposal to expand the pilot program to allow P.M.-settled
SPX options to also expire on Tuesday or Thursday.\14\ On September 15,
2022, the Commission approved a Cboe Options proposal to expand the
pilot program to allow P.M.-settled XSP options to similarly expire on
Tuesday or Thursday.\15\ On July 27, 2023, the Commission approved a
Cboe Options proposal to make the program permanent and permit the
Exchange to list P.M.-settled options on any broad-based index eligible
for standard trading that expire on: (1) any Monday, Wednesday, or
Friday (other than the third Friday-of-the-month or days that coincide
with an end-of-month expiration and, with respect to SPX and XSP
options any Tuesday or Thursday and (2) the last trading day of the
month.\16\ Subsequently, in November 2023, the Commission approved a
Cboe Options proposal to permit P.M.-settled options on any broad-based
index eligible for standard options trading that expire on Tuesday or
Thursday.\17\
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\10\ See Securities Exchange Act Release No. 31800 (February 1,
1993), 58 FR 7274 (February 5, 1993) (SR-CBOE-92-13); and see Rule
4.13(a)(2)(B); see also Securities Exchange Act Release Nos. 54123
(July 11, 2006), 71 FR 40558 (July 17, 2006) (SR-CBOE-2006-65); and
60164 (June 23, 2009), 74 FR 31333 (June 30, 2009) (SR-CBOE-2009-
029).
\11\ See Securities Exchange Act Release 62911 (September 14,
2010), 75 FR 57539 (September 21, 2010) (order approving SR-CBOE-
2009-075).
\12\ See Securities Exchange Act Release 76909 (January 14,
2016), 81 FR 3512 (January 21, 2016) (order approving SR-CBOE-2015-
106).
\13\ See Securities Exchange Act Release 78531 (August 10,
2016), 81 FR 54643 (August 16, 2016) (order approving SR-CBOE-2016-
046).
\14\ See Securities Exchange Act Release 94682 (April 12, 2022)
(order approving SR-CBOE- 2022-005).
\15\ See Securities Exchange Act Release 95795 (September 21,
2022) (order approving SR-CBOE- 2022-039).
\16\ See Securities Exchange Act Release 98008 (July 27, 2023)
(order approving SR-CBOE-2023-020).
\17\ See Securities Exchange Act Release No. 98957 (November 15,
2023).
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Current Offerings
Currently, under the Nonstandard Expirations Program set forth in
Rule 4.13(e), the Exchange may open for trading (1) Weekly Expirations
on any broad-based index eligible for standard options trading and on
CBTX, MBTX, and the Cboe Magnificent 10 Index to expire on any Monday,
Tuesday, Wednesday, Thursday, or Friday (other than the third Friday-
of-the-month or days that coincide with an EOM expiration) and (2) EOMs
on any broad-based index eligible for standard options trading and on
CBTX, MBTX, and the Cboe Magnificent 10 Index to expire on last trading
day of the month.
Further, under its rules, with respect to SPX options, the Exchange
may open for trading standard monthly expirations with A.M.-settlement
on the third Friday-of the-month,\18\ Weekly Expirations with P.M.-
settlement \19\ (including P.M.-Settled Third Friday Index Options);
\20\ and EOM expirations with P.M.-settlement.\21\
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\18\ See Rule 4.13(a)(2) and (3).
\19\ See Rule 4.13(e)(1).
\20\ See Rule 4.13, Interpretation and Policy .13.
\21\ See Rule 4.13(e)(2).
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The Exchange now proposes to amend its rules to permit the listing
of A.M.-Settled Weekly and EOM Expirations on SPX options.
Proposal
The Exchange proposes to amend Rule 4.13(e), which governs its
Nonstandard Expirations Program (``Program''), to permit A.M.-settled
SPX options that expire (1) on any Monday, Tuesday, Wednesday,
Thursday, or Friday (other than the third Friday-of-the-month
(``Expiration Friday'') or days that coincide with an EOM expiration)
(``A.M.-Settled Weekly Expirations'') and (2) EOMs.
A.M.-Settled Weekly Expirations and EOM Expirations on SPX are
subject to all provisions of Rule 4.13 and treated the same as A.M.-
settled options on SPX that expire on the third Friday of the
expiration month, as well as P.M.-settled Weekly and EOM SPX options.
The maximum number of expirations that may be listed for each A.M.-
Settled Weekly Expiration on SPX options (i.e., a A.M.-Settled Monday
expiration, A.M.-Settled Tuesday expiration, A.M.-Settled Wednesday
expiration, A.M.-Settled Thursday expiration, or A.M.-Settled Friday
expiration, as applicable) \22\ and each A.M.-Settled EOM Expiration on
SPX options is the same as the maximum number of expirations permitted
in Rule 4.13(a)(2) for standard options on SPX. A.M.-Settled Weekly
Expirations on SPX need not be for consecutive Monday, Tuesday,
Wednesday, Thursday, or Friday expirations as applicable; however, the
expiration date of a nonconsecutive expiration may not be beyond what
would be considered the last expiration date if the maximum number of
expirations were listed consecutively. A.M.-Settled Weekly Expirations
that are first listed in SPX options may expire up to four weeks from
the actual listing date. Similarly, A.M.-Settled EOMs on SPX need not
be for consecutive end of month expirations; however, the expiration
date of a non-consecutive expiration may not be beyond what would be
considered the last expiration date if the maximum number of
expirations were listed consecutively. A.M.-Settled EOMs that are first
listed in SPX options may expire up to four weeks from the actual
listing date. If the Exchange lists A.M.-Settled EOMs and A.M.-Settled
Weekly Expirations on SPX, the Exchange will list an A.M.-Settled EOM
instead of a A.M.-Settled Weekly Expiration that expires on the same
day in the given class. Other expirations in the same class are not
counted as part of the maximum number of Weekly or EOM Expirations for
SPX.
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\22\ As part of the proposed changes, the Exchange proposes
conforming amendments to Rules 4.13(e)(1) and (2) to replace certain
existing references to ``Weekly Expirations'' with ``P.M.-settled
Weekly Expirations,'' to reflect that those provisions are
applicable to P.M.-settled options series and to distinguish them
from the A.M.-Settled Weekly Expirations proposed. For the avoidance
of doubt, there are no changes to the P.M.-Settled Weekly
Expirations or EOMs as a result of the proposed change. The Exchange
also proposes to remove language stating that Weekly Expirations and
EOMs shall be P.M-settled.
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If the Exchange is not open for business on a respective Monday,
the normally Monday expiring Weekly Expirations will expire on the
following business day. If the Exchange is not open for business on a
respective Tuesday, Wednesday, Thursday, or Friday, the normally
Tuesday, Wednesday, Thursday, or Friday expiring Weekly Expirations
will expire on the previous business day. If two different Weekly
Expirations on an index would expire on the same day because the
Exchange is not open for business on a certain weekday, the Exchange
will list only one of such Weekly Expirations.
In connection with proposed change, the Exchange proposes to amend
Rule 5.1(b)(2)(C), which currently states in relevant part that on
their last trading day, Regular Trading Hours for Nonstandard
Expirations are from 9:30 a.m. to 4:00 p.m. Specifically, the Exchange
proposes to replace the reference to ``Nonstandard Expirations'' with
``P.M.-Settled Nonstandard Expirations.''
The Exchange believes that the introduction of A.M.-Settled Weekly
Expirations and EOMs on SPX options will provide market participants
with
[[Page 23501]]
additional hedging tools and greater trading opportunities. By offering
expanded expirations along with the current standard A.M.-settled
expirations (as well as P.M.-settled weekly, monthly and quarterly
expirations), the proposed rule change will allow market participants
to purchase options on SPX available for trading on the Exchange in a
manner more aligned with specific timing needs (such as to hedge
special events) and more effectively tailor their investment and
hedging strategies and manage their portfolios.
The Exchange believes that expanding the SPX options offering to
include A.M.-Settled Weekly and EOM Expirations would allow market
participants to purchase an option based on their needed timing and
allow them to tailor their investment or hedging needs more
effectively. Further, the Exchange believes there is sufficient
investor interest and demand in A.M-Settled Weekly and EOM Expirations
on SPX options to warrant inclusion in the Program and in the Rules,
and that the Program and the Rules, as amended, will continue to
provide investors with additional means of managing their risk
exposures and carrying out their investment objectives.
With regard to the impact of this proposal on system capacity, the
Exchange has analyzed its capacity and represents that it believes that
the Exchange has the necessary systems capacity to handle any potential
additional traffic associated with trading of A.M-Settled Weekly
Expirations and EOM Expirations for SPX options. The Options Price
Reporting Authority (``OPRA'') also informed the Exchange it believes
it has the necessary systems capacity to handle the additional traffic
associated with the listing of A.M-Settled Weekly Expirations and EOM
Expirations for SPX options that would result from this proposed rule
change.
The Exchange does not believe that its Trading Permit Holders
(``TPHs'') will experience any capacity issues as a result of this
proposal and represents that it will monitor the trading volume
associated with any possible additional SPX options series listed as a
result of this proposal and the effect (if any) of these additional
series on market fragmentation and on the capacity of the Exchange's
automated systems.
In addition to this, the Exchange believes that its existing
surveillance and reporting safeguards in place are adequate to deter
and detect possible manipulative behavior which might arise from
listing and trading A.M-Settled Weekly and EOM Expirations for SPX
options (as the Exchange currently applies these to SPX options that
are A.M.-settled with standard expirations, as well as P.M.-settled
with weekly, monthly and quarterly expirations) and will support the
protection of investors and the public interest. Furthermore, the
trading of A.M-Settled Weekly and EOM Expirations for SPX options will
be subject to the same rules that currently govern the trading of these
options with other expirations, including governing customer accounts,
position and exercise limits,\23\ margin requirements and trading halt
procedures, among other Rules, which are designed to prevent fraudulent
and manipulative acts and practices.
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\23\ There are no position or exercise limits for SPX options,
per Rules 8.31(a) and 8.42(b), respectively.
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In response to any potential concerns that disruptive trading
conduct could occur as a result of the concurrent listing and trading
of two index option products based on the same index but for which
different settlement methodologies exist (i.e., one is A.M.-settled and
one is P.M.-settled), the Exchange notes that for roughly five years
(1987 to 1992) the Exchange listed and traded an A.M.-settled S&P 500
index option under symbol NSX at the same time it listed and traded a
P.M.-settled S&P 500 index option under symbol SPX, and the Exchange
did not observe any market disruptions as a result of offering both
products.\24\
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\24\ Today, A.M.-settled SPX options and P.M.-Settled SPX
options trade under different symbols (i.e., SPX and SPXW,
respectively).
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The adoption of trading of A.M-Settled Weekly and EOM Expirations
on the S&P 500 Index on the same exchange as A.M.-settled (with
standard expirations) and P.M-settled options on the S&P 500 Index
would provide greater spread opportunities. This manner of trading
allows a market participant to take advantage of the different
expiration times, which provides expanded trading opportunities. In the
options market currently, market participants regularly trade similar
or related products in conjunction with each other, which contributes
to overall market liquidity.
2. Statutory Basis
The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\25\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \26\ requirements that the rules of an exchange be
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, to remove impediments to and perfect the
mechanism of a free and open market and a national market system, and,
in general, to protect investors and the public interest. Additionally,
the Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \27\ requirement that the rules of an exchange not be
designed to permit unfair discrimination between customers, issuers,
brokers, or dealers.
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\25\ 15 U.S.C. 78f(b).
\26\ 15 U.S.C. 78f(b)(5).
\27\ Id.
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In particular, the Exchange believes that the proposed rule change
will remove impediments to and perfect the mechanism of a free and open
market and a national market system, and, in general, to protect
investors and the public interest. The Exchange believes that the
introduction of A.M-Settled Weekly and EOM Expirations for SPX options
will provide investors with expanded hedging tools and greater trading
opportunities. As a result, investors will have additional means to
manage their risk exposures and carry out their investment objectives.
By offering expanded expirations along with the current standard A.M.-
settled expirations (as well as P.M.-settled weekly, monthly and
quarterly expirations), the proposed rule change will allow market
participants to purchase options on SPX available for trading on the
Exchange in a manner more aligned with specific timing needs (such as
to hedge special events) and more effectively tailor their investment
and hedging strategies and manage their portfolios. For example, the
proposed rule change will allow market participants to spread risk
across more trading days and incorporate daily changes in the markets,
which may reduce the premium cost of buying protection. The Exchange
represents that it believes that it has the necessary systems capacity
to support any additional traffic associated with trading of A.M-
Settled Weekly and EOM Expirations for SPX options and does not believe
that its TPHs will experience any capacity issues as a result of this
proposal.
The Exchange does not believe that the addition of A.M-Settled
Weekly and EOM Expirations for SPX options to the Nonstandard
Expirations Program will raise any prohibitive regulatory concerns, nor
adversely impact fair and
[[Page 23502]]
orderly markets on expiration days. The Exchange has not experienced
any meaningful regulatory concerns, nor adverse impact on fair and
orderly markets, in connection with these programs, nor with the
listing of standard A.M.-settled expirations for SPX options along with
P.M.-settled expirations, (as the Exchange currently does) and is
unaware of any reason why adding A.M.-settled options with expirations
each day of the week for SPX options would be create such concerns or
impact. Particularly, the Exchange does not believe increases in the
number of options series and expirations will have any significant
adverse economic impact on the futures, index, or underlying index
component securities markets. The Exchange believes that the proposed
rule change will provide investors with greater trading and hedging
opportunities and flexibility, allowing them to transact in SPX options
in a manner more aligned with specific timing needs and more
effectively tailor their investment and hedging objectives by listing
these A.M-settled options that expire each trading day of the week, in
addition to options that expire at on the third Friday-of-the-month or
that are P.M-settled and expire daily, monthly and quarterly (which, as
noted above, the Exchange may already do pursuant to separate listing
programs in the Rules).
The Commission previously recognized the benefits of A.M-settlement
for broad-based index options when it approved Cboe Options' proposal
to transition most of its cash-settled index options, including on the
S&P 500 Index, to A.M.-settlement.\28\ Specifically, the Commission
identified several advantages of opening price settlement, including:
(1) the ability to facilitate contra-side interest to alleviate order
imbalances caused by the unwinding of index-related positions, without
requiring market participants to assume overnight or weekend position
risk; (2) providing market participants the remainder of the trading
day to adjust to price movements resulting from expiration activity and
assess whether those movements reflect changes in fundamental value or
short-term supply and demand; and (3) allowing stock positions
associated with expiring contracts to benefit from orderly opening
procedures designed to facilitate price discovery.\29\
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\28\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SR-CBOE-92-09). Thereafter, the
Commission approved proposals by the options markets to transfer
most of their cash-settled index products to A.M. settlement.
\29\ See Securities Exchange Act Release No. 30944 (July 21,
1992), 57 FR 33376 (July 28, 1992) (SR-CBOE-92-09). Thereafter, the
Commission approved proposals by the options markets to transfer
most of their cash-settled index products to A.M. settlement.
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The Exchange believes the benefits set forth by the Commission are
not unique to standard monthly expirations. Specifically, as daily and
end-of-month P.M.-settled SPX expirations have grown in prominence, the
same concerns regarding order imbalance and price discovery could arise
at any expiration (not just the third Friday of each month).
Accordingly, the Exchange believes that extending A.M.-settlement to
daily and end-of-month expirations is consistent with the Commission's
own rationale, and would provide market participants with those same
protections across the full expiration calendar.
Finally, the Exchange believes its proposal to introduce changes to
specify between A.M.-Settled Weekly Expirations and P.M.-Settled Weekly
Expirations are reasonable, as they provide clarity within the Exchange
rules, thereby mitigating potential investor confusion.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The Exchange does not
believe that the proposed rule change will impose any burden on
intramarket competition that is not necessary or appropriate in
furtherance of the purposes of the Act because A.M.-settled SPX options
with Weekly and EOM Expirations will be available to all market
participants. By listing SPX options with these expirations (in
addition to the standard Expiration Friday expirations (A.M.-settled)
and weekly and EOM expirations (P.M.-settled) that are currently
listed), the proposed rule change will provide all investors that
participate in the markets for these index options available for
trading on the Exchange with greater trading and hedging opportunities
and flexibility to meet their investment and hedging needs.
The Exchange does not believe that the proposal to list A.M.-
settled SPX options with Weekly and EOM Expirations will impose any
burden on intermarket competition that is not necessary or appropriate
in furtherance of the purposes of the Act because these options are
proprietary Exchange products. To the extent that the addition of these
expirations for SPX options makes the Exchange a more attractive
marketplace to market participants at other exchanges, such market
participants are free to elect to become market participants on the
Exchange. Further, to other exchanges offer ``nonstandard'' expirations
\30\ for index options and are welcome to similarly propose to list
options on those index or equity products with similar expirations as
proposed herein. Finally, as noted above, SPX options with these
expirations will trade in the same manner as other options with these
expirations currently do.
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\30\ See, e.g., Nasdaq PHLX, LLC Options 4A, Section 12
(permitting nonstandard expirations, including daily expirations for
Nasdaq-100 index options and Nasdaq 100-Micro index options); and
Nasdaq ISE, LLC Options 4, Section 5, Supplementary Material .03
(permitting short-term options series with daily expirations for SPY
and QQQ options).
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C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange neither solicited nor received written comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) as the
Commission may designate if it finds such longer period to be
appropriate and publishes its reasons for so finding or (ii) as to
which the Exchange consents, the Commission will:
A. by order approve or disapprove such proposed rule change, or
B. institute proceedings to determine whether the proposed rule
change should be disapproved.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
<bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
<bullet> Send an email to <a href="/cdn-cgi/l/email-protection#394b4c555c145a5654545c574d4a794a5c5a175e564f"><span class="__cf_email__" data-cfemail="0b797e676e26686466666e657f784b786e68256c647d">[email protected]</span></a>. Please include
file number SR-CBOE-2026-044 on the subject line.
[[Page 23503]]
Paper Comments
<bullet> Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.
All submissions should refer to file number SR-CBOE-2026-044. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's internet website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>). Copies of the filing will be available for inspection and
copying at the principal office of the Exchange. Do not include
personal identifiable information in submissions; you should submit
only information that you wish to make available publicly. We may
redact in part or withhold entirely from publication submitted material
that is obscene or subject to copyright protection. All submissions
should refer to file number SR-CBOE-2026-044 and should be submitted on
or before May 22, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\31\
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\31\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2026-08471 Filed 4-30-26; 8:45 am]
BILLING CODE 8011-01-P
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