Daily Options on the CAC 40^® Index for short-term trading strategies and exposure to the main index of Euronext Paris

Euronext launches Daily Options on the CAC 40 Index. The Daily Options on the CAC 40 Index are complimentary to the weekly and regular monthly options already traded. Euronext already offered Daily Options on the AEX Index. The new Daily Options provide traders with unparalleled opportunities to capitalise on short-term market movements.

CAC 40 Index Daily Options in short

Daily expiring options are options expiring each day of the week. Already available since 2008 on the AEX Index, Euronext is now additionally providing daily option expiries on the CAC 40 Index.

Daily Options suit the trading strategies of both professional and retail investors looking to gain short-term exposure in one of the world’s most popular country indices.



Daily Options trading facilitates short-term trading strategies, providing greater flexibility to trade and hedge short-term market fluctuations. 

Key benefits 

• High strategy agility
  
  Daily expiries with a wide range of strikes available gives investors a high degree of autonomy and flexibility for investments  
• React quickly to market movements
  
  Investors are able to gain more targeted exposure, positioning around key events such as elections and economic figures
• Benefit from high Theta and Gamma
  
  Market participants can utilise Theta time decay and high Gamma from short-dated options to generate further benefits from small price movements
• Lower time value
  
  Making Daily Options more affordable than longer-dated alternatives

Trading information

Quote Vendor Codes

Find Euronext CAC 40 Daily Options live quotes with your data vendor

Reuters

Bloomberg

_{Each daily option has the corresponding number of the day inserted in the chain logic. Listed and traded dailies correspond with Euronext trading days whereby options are made available on the trading day before expiration. We do not issue daily options for the expiry dates of weekly and monthly options. The March 28th contract will revert to P28 with the same code as before that was used for Feb 28th.}

Contract specifications

CAC 40 Daily Index Options contract specification on live.euronext.com

Market makers

Liquidity guaranteed by leading market makers, including:

Download factsheet

EN factsheet    |    FR factsheet    |    NL factsheet

We are currently experiencing problems with our system-generated e-mails, which affects, among other things, emails associated with the ordering of new passwords and two-factor authentication when logging into VPS Investor Portal. We are working to resolve the issue, and apologize for the inconvenience this may cause. 

In the ever-evolving landscape of financial markets, the introduction of new Stock Options for companies like Solvay and Syensqo on Euronext Brussels marks a significant development for investors and traders alike. Stock Options, which offer the right but not the obligation to buy (call options) or sell (put options) a stock at a specified price within a certain period, are vital tools for managing risk, generating income, and speculating on market movements. This article delves into the significance of these new options, strategies for trading them, and their potential impact on the broader market.

Solvay and Syensqo Stock Options contract specification summary

A quick overview of the Solvay and Syensqo Stock Options contract specifications

• One Stock Option for Solvay and Syensqo normally equals rights over 100 underlying shares.
• Solvay and Syensqo Stock Options are listed and traded in Euros.
• The options are American style which means that the holders of long positions are entitled to exercise their options before the expiration date.
• Options expire on the third Friday of the expiry month. Trading ceases that day at 17:30 CET. If the third Friday is not a business day, the Last Trading Day shall normally be the last business day preceding the third Friday.
• Solvay and Syensqo Stock Options are settled by physical delivery of 100 shares.

The options are traded under the following symbols and codes:

Consult the instrument pages on our Live website for the detailed contract specifications.

Solvay stock options – market quotes and contract specifications

Syensqo stock options – market quotes and contract specifications

Investment opportunities for Solvay and Syensqo options

The entry of Solvay and Syensqo into the underlying values for stock options introduces new opportunities and risks.

Diversification and hedging

Options allow investors to diversify their portfolios beyond traditional stock and bond investments. By incorporating options, investors can protect their portfolios against market downturns. For example, buying put options on Solvay or Syensqo shares can serve as insurance, hedging against potential declines in the underlying stock prices.

Income generation

Selling call options on stocks that investors already own (a strategy known as covered call writing) can generate additional income through the premiums received. This strategy can be particularly appealing in flat or slightly bullish markets, where the underlying stocks are not expected to make significant gains.

Leverage and speculation.

Options provide leverage, as they allow investors to control a larger amount of stock with a relatively small investment (the premium). This can amplify gains but also increases the risk of losses. Speculators might use Solvay or Syensqo options to bet on the direction of these companies' stock prices with a limited downside risk.

Market implications Solvay and Syensqo options

The addition of new underlying values like Solvay and Syensqo can also have broader market implications:

1. Volatility:
   
   The introduction of options on these shares could increase their volatility, especially around key events, or announcements.
2. Liquidity:
   
   Increased trading activity in options could improve the liquidity of Solvay and Syensqo shares, making them more attractive to a broader range of investors.
3. Price Discovery:
   
   Options markets can aid in the price discovery process by reflecting investor sentiment and expectations about the future price movements of the underlying shares.

Navigating risks

While options trading on Solvay and Syensqo shares can be lucrative, it also comes with its set of risks. The most prominent is the potential for loss, as options can expire worthless, resulting in a total loss of the premium paid. Furthermore, the leverage effect in options trading can amplify losses as well as gains. Traders must also consider the impact of implied volatility, time decay, and changes in market conditions.

The significance of new Stock Options on Euronext Brussels

Euronext Brussels is a primary stock exchange in Belgium and a component of the Euronext group, which is the largest stock exchange in Europe. The introduction of new Stock Options for companies like Solvay, a global leader in chemicals and materials, and Syensqo, potentially a high-growth tech firm, provides traders and investors with more instruments to tailor their investment strategies to their specific risk tolerance and market outlook.

Stock Options for Solvay and Syensqo on Euronext Brussels open a realm of possibilities offering tools for hedging, speculation, and income generation. However, the successful use of these instruments requires a thorough understanding of options strategies and a clear assessment of risk tolerance. As with any investment, due diligence and a well-thought-out plan are paramount to navigating the options market effectively. With these new offerings, Euronext Brussels is set to become an even more vibrant and diverse financial marketplace, catering to the needs of a broad array of market participants.

On 25 January 2024, Euronext held its first Women in Trading cocktail, a networking event in partnership with Equileap, the leading data provider for gender equality and diversity & inclusion.

Over 40 participants from the trading and asset management communities attended the evening event, an initiative created to further support the position of women in finance.

The Euronext Women in Trading cocktail was the occasion:

• to create a new space to foster sharing, learning and networking opportunities
• to underline Euronext’s commitment to empowering women and reshaping finance to be more inclusive
• to share insights alongside our partner Equileap on gender equality in the financial markets and present our gender equality indices, recently launched together.

Watch the Euronext Women in Trading cocktail ‘best of’ video

Charlotte Alliot, Euronext’s Group Head of Financial Derivatives and 2023 winner of a European Women in Finance Award; Delphine d’Amarzit, CEO of Euronext Paris; Diana van Maasdijk, Co-Founder and CEO of Equileap and Nitharshini Thevathas, Index Business Developer at Euronext shared their experience and thoughts.

Partnership with Equileap

Equileap is a leading provider of data and insights on Diversity, Equity, and Inclusion (DEI), allowing investors to align their investments with their values.

Equileap assesses and ranks companies around the world on gender equality and diversity & inclusion using a unique research methodology.

Last year Euronext and Equileap launched the Euronext^® Equileap Gender Equality Indices.

More about Euronext’s ESG commitment

Euronext Women in Trading and the launch of Euronext^® Equileap Gender Equality Indices are part of Euronext commitment to drive investment in innovative, sustainable products and services and inspire and promote tangible sustainable practices

Learn more about how we empower sustainable growth