CBOE POWERPACKSSM RETAIL INDEX OPTIONS
Product Specifications
Symbol:
RPY
Underlying:
The CBOE PowerPacks Retail Index (RPY) is a narrow-based, modified capitalization-weighted index composed of twenty-five securities, all of which are U.S.-listed common stocks traded on the New York Stock Exchange, NASDAQ Stock Market, or the American Stock Exchange. The index is composed of the highest capitalization U.S. companies focused on retail that are actively traded in the U.S. The index will be rebalanced and reconstituted on a quarterly basis (after the close of trading on the third Friday of March, June, September and December) and the composition and/or weighting of the index is subject to change during the interim periods upon the occurrence of corporate events or unusual circumstances.
Multiplier:
$100.
Strike Price Intervals:
Strike prices below 200 are listed with minimum intervals of 2.5 points. Strike prices above 200 are listed with minimum intervals of 5 points.
Strike (Exercise) Prices:
In-, at- and out-of-the-money strike prices are initially listed. New strikes can be added as the index moves up or down.
Premium Quotation:
Stated in decimals. One point equals $100. Minimum tick for options trading below 3.00 is 0.05($5.00) and for all other series, 0.10 ($10.00).
Exercise Style:
European - CBOE PowerPacks Retail Index options generally may be exercised only on the last business day before expiration.
Expiration Date:
Saturday following the third Friday of the expiration month.
Expiration Months:
Up to three near-term months plus up to three months on the March quarterly cycle. LEAPS with expirations up to five years in the future may also be listed.
Settlement of Option Exercise:
Exercise will result in delivery of cash on the business day following expiration. The exercise settlement value (RAQ) is calculated using the first (opening) reported sales price in the primary market of each component security on the last business day (usually a Friday) before the expiration date. If a security in the index does not open on the day on which the exercise-settlement value is determined, the last reported sales price in the primary market shall be used in calculating the exercise-settlement value. The exercise-settlement amount is equal to the difference between the exercise-settlement value and the exercise price of the option, multiplied by $100.
Position Limit:
31,500 contracts on either side of the market.
Margin:
For purchases of puts or calls with more than 9 months until expiration, deposit / maintain 75% of the total cost / option current market value. When time to expiration reaches 9 months, the option no longer has value for margin purposes. Purchases of puts or calls with 9 months or less until expiration must be paid for in full. Writers of uncovered puts or calls must deposit / maintain 100% of the option proceeds* plus 20% of the aggregate contract value (current index level x $100) minus the amount by which the option is out-of-the-money, if any, subject to a minimum for calls of option proceeds* plus 10% of the aggregate contract value and a minimum for puts of option proceeds* plus 10% of the aggregate exercise price amount. (*For calculating maintenance margin, use current market value instead of option proceeds.) Additional margin may be required pursuant to Exchange Rule 12.10.
Last Trading Day:
Trading in CBOE PowerPacks Retail Index options will ordinarily cease on the business day (usually a Thursday) preceding the day on which the exercise-settlement value is calculated.
Cusip Number:
12498R5
Trading Hours:
8:30 a.m. - 3:00 p.m. Central Time (Chicago time).