CBOE - What's Behind The 40% Rise In VIX Options Contracts? | Benzinga
In a recent article, Cboe Global Markets Inc. (BATS: CBOE) reported on the growth in VIX options trading in the past few years. In 2023, this growth has surged – VIX® volatility index options trading has averaged over 740,000 contracts daily this year. This represents a notable 40% increase compared to recent years when volumes remained around the 500,000 average daily volume (ADV) mark.
What’s Behind The Increase In VIX Trading Volume?
Cboe notes that the uptick in VIX options activity is primarily driven by an increase in call options, which are up 54% (compared to a 16% increase in put options). This surge in call options is approaching the all-time high ADV observed in 2017.
Image by CBOE Global Markets
Examining customer activity and specific strategies, two areas have experienced notable growth: first, ...