Russell 2000® Index Options Products
Harness the Power of Small-Caps
Cash-Settled
Settle trades in cash without unwanted shares or market exposure.
60/40 Tax Treatment
Capital gains may qualify for favorable 60/40 tax treatment.
European-Style
Manage your positions with increased certainty, as options can only be exercised at expiration.
Products at a Glance
Cboe Russell 2000 Index options enable you to potentially generate income, gain downside protection, and capitalize on volatility.
RUT
Russell 2000 Index Options
One of the most efficient and cost-effective way to gain exposure to the Russell 2000 Index, a broad-based index that tracks the performance of 2000 of the smallest publicly traded companies in the U.S.
Discover RUT
MRUT
Mini-Russell 2000 Index Options
At 1/10th the size of the standard Russell 2000 Index options contract, MRUT provides greater flexibility and precision to fine tune exposure to small cap U.S. equities.
Discover MRUT
Potential Tax Savings
Index options qualify for 60/40 tax treatment, where profits are taxed at 60% long-term and 40% short-term rates. See how you could benefit from index options tax treatment.
Get Details
Cash-Settled
Settle trades in cash without unwanted shares or market exposure.
60/40 Tax Treatment
Capital gains may qualify for favorable 60/40 tax treatment.
European-Style
Manage your positions with increased certainty, as options can only be exercised at expiration.
Potential Tax Savings
Index options qualify for 60/40 tax treatment, where profits are taxed at 60% long-term and 40% short-term rates. See how you could benefit from index options tax treatment.
Get Details
Elevate Your Strategy with Russell 2000 Options Benchmark Indices
Monitor the performance of specific options strategies and refine your approach using these powerful benchmarks.
BXR℠
Measure the performance of a hypothetical buy-write strategy combining a Russell 2000 stock portfolio with a one-month at-the-money call option.
BXRD℠
Evaluate a hypothetical buy-write strategy pairing a Russell 2000 stock portfolio with a one-month out-of-the-money call option.
PUTR℠
Gauge the performance of a hypothetical strategy that sells Russell 2000 Index put options against collateralized cash reserves.
Elevate Your Strategy with Russell 2000 Options Benchmark Indices
Monitor the performance of specific options strategies and refine your approach using these powerful benchmarks.
BXR℠
Measure the performance of a hypothetical buy-write strategy combining a Russell 2000 stock portfolio with a one-month at-the-money call option.
BXRD℠
Evaluate a hypothetical buy-write strategy pairing a Russell 2000 stock portfolio with a one-month out-of-the-money call option.
PUTR℠
Gauge the performance of a hypothetical strategy that sells Russell 2000 Index put options against collateralized cash reserves.
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MINI-RUT®
Cboe Index Options
1/10th of RUT
$100
$20,000
Trading account credited or debited in cash
European style, exercised at expiration, no risk of early exercise or assignment
Capital gains may benefit from 60% / 40% tax treatment*
Global trading hours available
Settlement and exercise style eliminate potential economic and tax risk for writers
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RUT®
Cboe Index Options
1 RUT
$100
$200,000
Trading account credited or debited in cash
European style, exercised at expiration, no risk of early exercise or assignment
Capital gains may benefit from 60% / 40% tax treatment*
Global trading hours available
Settlement and exercise style eliminate potential economic and tax risk for writers
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ISHARES® ETF (IWM)
ETF Options
1/10th of RUT
$100
$20,000
Delivery of underlying shares
American style, can be exercised or assigned prior to expiration
Standard short- and long-term tax rules
Standard market trading hours
After market contract assignment may result in unplanned residual positions
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Russell 2000 Index Options vs. ETF Options:
Which is Right for You?
| Cboe Index Options | ETF Options | ||
|---|---|---|---|
| MINI-RUT® | RUT® | ISHARES® ETF (IWM) | |
| Contract Size | 1/10th of RUT | 1 RUT | 1/10th of RUT |
| Contract Multiplier | $100 | $100 | $100 |
| Approx. Notional Size (if R2000 is $2,000) |
$20,000 | $200,000 | $20,000 |
| Settlement Type | Trading account credited or debited in cash | Delivery of underlying shares | |
| Exercise Style | European style, exercised at expiration, no risk of early exercise or assignment | American style, can be exercised or assigned prior to expiration | |
| Tax Treatment | Capital gains may benefit from 60% / 40% tax treatment* | Standard short- and long-term tax rules | |
| Extended Trading Hours | Global trading hours available | Standard market trading hours | |
| Certainty of Settlement | Settlement and exercise style eliminate potential economic and tax risk for writers | After market contract assignment may result in unplanned residual positions | |
Russell 2000 Index
The Gold Standard in U.S. Small-Cap Benchmarking
As the premier benchmark for the U.S. small-cap equity market, the Russell 2000 index tracks approximately 2,000 companies, representing around 7% of the total U.S. equity market capitalization.
Cboe and FTSE Russell Through the Years
Cboe and FTSE Russell have a longstanding relationship working together to offer index options based on FTSE Russell indices, which have grown into some of the world’s most actively traded products.
What to Know Heading into:
FTSE Russell's 36th Annual Russell Reconstitution
FTSE Russell's 36th Annual Russell Reconstitution happened on June 28th this year. The well-honed process of updating the U.S. Russell benchmark indices takes place each year to reflect changes in the U.S. publicly traded equity markets. Learn more about all things Russell Constitution in this year’s blog:
Read More
Cboe and FTSE Russell Through the Years
Cboe and FTSE Russell have a longstanding relationship working together to offer index options based on FTSE Russell indices, which have grown into some of the world’s most actively traded products.
What to Know Heading into:
FTSE Russell's 36th Annual Russell Reconstitution
FTSE Russell's 36th Annual Russell Reconstitution happened on June 28th this year. The well-honed process of updating the U.S. Russell benchmark indices takes place each year to reflect changes in the U.S. publicly traded equity markets. Learn more about all things Russell Constitution in this year’s blog:
Read More
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Options Analytics
Cboe's real-time options analytics produce implied volatilities and Greeks as well as model-fitted theoretical prices.
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Streaming data service delivering real-time index values to market participants. Values include indices, like SPX® and VIX®.
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Order Entry, Execution, Risk Management
Seamless workflow to execute Cboe proprietary products and products on other exchanges in a multi-broker, exchange agnostic platform.
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Evaluating Options For Enhanced Risk-Adjusted Returns
Download Full Case StudyAnalyzing Russell 2000 Options-Based Benchmark Indexes Designed to Provide Enhanced Yields and Risk-Adjusted Returns
Download Full Case StudyImproving Diversification by Harvesting Volatility Premiums: Cboe Russell 2000 Options Benchmark Suite Analysis
Download Full Case Study