CBOE Launches Gold Volatility Futures and Options

Trading has begun on the CBOE Futures Exchange (CFE) in Gold Volatility futures. If you’ll recall, a VIX-like calculation can be made on any set of option prices on an individual stock, as long as there are continuous markets being made in the options.

The CBOE has been publishing a “Gold VIX” under the symbol $GVZ for some time. This calculation is based on the options on the Gold ETF (GLD).

Now, futures have begun to trade on $GVZ. Their base symbol is GV, and there are futures in the May, June, July, Aug, and Sept at this point.

Option trading on $GVZ will begin today, April 12th. These will be cash-based options, trading off the futures prices, just like $VIX options are.

To date, there have been no trades in the GV futures, which is a bit disappointing. It remains to be seen if there will be trading interest in the $GVZ options.