What is XSP®

The Cboe Mini-SPX Index option contract, known by its symbol XSP, is designed to track the underlying S&P 500 Index.

At 1/10th the size of a standard SPX option contract, XSP provides greater flexibility for new index options traders or traders managing an individual portfolio.

Like SPX options contracts, XSP options offer the potential opportunity to manage large-cap U.S. equity exposure and execute risk management, hedging, and income generation strategies.

Disclosures:

*Under section 1256 of the Tax Code, profit and loss on transactions in certain exchange-traded options. including SPX Options, are entitled to be taxed at a rate equal to 60% long-term and 40% short-term capital gain or loss, provided that the investor involved and the strategy employed satisfy the criteria of the Tax Code. Investors should consult with their tax advisors to determine how the profit and loss on any particular option strategy will be taxed. Tax laws and regulations change from time to time and may be subject to varying interpretations. **Cboe Regulatory Circular RG15-183 notes that Cboe rules allow a short position in a cash-settled-index option established and carried in a margin account to receive covered margin treatment if the short option position is offset in the same account by an equivalent or greater position in an index-tracking ETF that is based on the same index that underlies the short option(s) and provided the investor's brokerage firm has such policies in place. ***In the case of a holiday on the settlement date, the settlement date is moved back one business day (eg. from Friday to Thursday), with the exception of Monday Weeklys, where the settlement date will move forward one business day (i.e. Monday to Tuesday). In addition, no SPX EOW, Monday Weeklys, +Tuesday Weeklys, +Wednesday Weeklys or +Thursday Weeklys+ will be listed that would have an expiration date that coincides with the expiration date of a traditional SPX option or SPX EOM option. ****Global Trading Hours (CTH) The trading hours for options on the SPX, SPXW (SPX Weeklys and SPX End-of-Month), and Mini-SPX (XSP) begin at 8:15 p.m. Eastern time and end at 9:15 a.m. Eastern time Please visit the Global Trading Hours page for more details.