CME Group to Launch Options on DJ US RE Index Futures, E-mini Select Sector Futures

CME Group plans to launch options on six E-mini Select Sector futures, as well as on Dow Jones U.S. Real Estate Index futures, on October 28, pending regulatory review.

The options will be available on E-mini S&P Select Sector Stock Energy Index futures, E-mini S&P Select Sector Stock Financial Index futures, E-mini S&P Select Sector Stock Health Care Index futures, E-mini S&P Select Sector Stock Industrial Index futures, E-mini S&P Select Sector Stock Technology Index futures, E-mini S&P Select Sector Stock Utilities Index futures, Dow Jones U.S. Real Estate Index futures

“These new options on our liquid sector futures are designed to help clients manage volatility in individual equity sectors, particularly amid significant dispersion across sectors this year,” said Paul Woolman, global head of equity index products at CME Group. “In today’s market, not only does index choice matter, but sector choice matters as well.”

CME Group’s existing Sector futures product suite, which includes the E-mini Select Sectors Index futures, E-mini Dow Jones Real Estate Index futures and E-mini Nasdaq Biotech Index futures, have been growing significantly over the last few years, with year-to date average daily volume at a record 21,000 contracts and open interest at a record 267,000 contracts, CME said.

“The S&P Select Sector indices, along with the Dow Jones U.S. Real Estate Index, enables traders, investors, and other market participants to focus on more targeted market segments as they look to mitigate risks, navigate volatility, and express their views on specific sectors against the broader market,” added Tim Brennan, global head of capital markets at S&P Dow Jones Indices.