Cboe Adds Afternoon-Settled Options on Tech-Heavy Magnificent 10 Index
Published Date: 12/23/2025
Notice
Summary
Cboe Exchange is adding new options that settle in the afternoon for the Magnificent 10 Index, with expirations on the third Friday, plus some special and quarterly dates. This change affects traders and investors who want more flexible ways to trade these popular index options. The SEC approved this update quickly, so these new options will be available soon, offering fresh chances to manage money and risk.
Analyzed Economic Effects
5 provisions identified: 3 benefits, 2 costs, 0 mixed.
New Weekly and EOM P.M.-Settled Expirations
If you trade options on the Cboe Magnificent 10 Index (MGTN), the Exchange will allow P.M.-settled Weekly expirations (any Monday–Friday other than the third Friday) and end-of-month (EOM) expirations. The maximum number of expirations listed for each Weekly or EOM expiration in a class is the same as standard options for that index (currently six for MGTN options).
Quarterly (QIX) P.M.-Settled Expirations Added
MGTN options will be eligible for quarterly index expirations (QIXs) that are P.M.-settled, the same as QIXs for other listed indexes. Under Rule 4.13(c), there may be up to eight near-term quarterly expirations open for trading in a class.
Position Limits Aggregated Across Expirations
Positions in MGTN options with Nonstandard Expirations, QIXs, and third-Friday P.M.-settlement will be aggregated with positions in MGTN options in the same class for position and exercise limits. The current position and exercise limits for MGTN options are 24,000 contracts (and may not be more than 31,500 without rule changes).
P.M.-Settlement Lets You Trade Through Expiration Day
Because these MGTN options are P.M.-settled, you can trade them throughout their expiration day up until the Exchange's last trading time for those contracts, which supports managing overnight risk and trading out of positions on the day they settle. The filing states P.M.-settlement permits trading throughout the day on the day the contract expires.
Last-Trading-Day Cutoff at 4:00 p.m.
On the last trading day for expiring P.M.-settled MGTN options (including Expiration Fridays), trading on the Exchange will occur between 9:30 a.m. and 4:00 p.m. Eastern Time (instead of continuing to 4:15 p.m.). The rule change amends Rule 5.1 to include MGTN P.M.-settled options in this 4:00 p.m. cutoff.
Your PRIA Score
Personalized for You
How does this regulation affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-10373 — Registered Offering Reform
The SEC wants to make it easier and cheaper for more companies to sell their stocks and bonds to the public. They’re opening up special forms and benefits to more businesses, updating rules to be more modern, and cutting red tape by overriding some state rules. If you’re a company planning to raise money, these changes could speed things up and save you money, with feedback due by July 27, 2026.
2026-10222 — Enhancement of Emerging Growth Company Accommodations and Simplification of Filer Status for Reporting Companies
The SEC is making it easier for companies that report their finances by simplifying their categories into just two groups: big and small filers. Smaller companies, including emerging growth ones, will get more time to file reports and enjoy simpler rules, while big companies keep stricter standards. These changes aim to save time and money, with feedback open until July 20, 2026.
2026-07651 — Concept Release on Consolidated Audit Trail and Other Audit Trails and Data Sources
The SEC wants your thoughts on how it tracks stock market trades using the Consolidated Audit Trail and other data tools. They’re thinking about updating rules to keep up with new tech, privacy, and security needs, and to make sure the system is fair and cost-effective. If you’re involved in the stock market or data tracking, speak up by June 22, 2026!
2026-11810 — Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Adopt Fees for Its New Clock Service
Cboe EDGX Exchange just rolled out a new Clock Service that helps users sync their time systems perfectly with the Exchange. Starting May 18, 2026, they’re charging fees for this service but also offering a free trial to get everyone on board. This affects both members and non-members who want precise timing for their trading activities.
2026-11812 — Self-Regulatory Organizations; Cboe EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Adopt Fees for Its New Clock Service
Cboe EDGA Exchange just rolled out a new Clock Service to help traders sync their time systems perfectly. Starting May 18, 2026, users can try it for free, but after that, there will be fees for using this handy tool. This change affects anyone who wants precise timing for trading and keeps things running smoothly.
2026-11809 — Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Adopt Fees for Its New Clock Service
Cboe BZX Exchange just rolled out a new Clock Service that helps users sync their time systems with the Exchange’s for better accuracy. Starting May 18, 2026, they’re charging fees for this service but offering a free trial to get everyone started. This affects both members and non-members who want precise timing for their trading activities.
Previous / Next Documents
Previous: 2025-23661 — Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Exchange Rule 11.9(c)(8) To Clarify Pegged Order Operation and To Align BZX Rule 11.9(c)(8) With the Corresponding Rule of Its Affiliate Exchanges, Cboe EDGA Exchange, Inc. (“EDGA”) and Cboe EDGX Exchange, Inc. (“EDGX”)
Cboe BZX Exchange is updating its rule about Pegged Orders to make things clearer and match the rules of its sister exchanges, EDGA and EDGX. This change helps traders understand how these special orders work across all three exchanges. The update took effect immediately on December 16, 2025, with no extra costs involved.
Next: 2025-23663 — Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Its Price List
The New York Stock Exchange (NYSE) is updating how it defines “last modified” for certain D Orders that happen at the market’s close. This change tweaks their price list and takes effect immediately on December 5, 2025. Traders and firms using these orders might see small fee adjustments, keeping NYSE competitive and clear.