Cboe To Roll Out FLEX Options In Europe By 2026

What Are FLEX Options And Why Do They Matter?

Cboe Europe Derivatives (CEDX), part of Cboe Global Markets, has announced plans to launch Flexible platform® (FLEX) options in Europe begining in the first quarter of 2026. The new products, subject to external reviews, will give European investors the ability to tailor options contracts on indices, equities, and ETFs to match their precise risk management needs. This flexibility is particularly timely as institutional investors viewk more sophisticated strategies to navigate volatile markets.

FLEX options allow customization of key contract terms such as strike prices, expiration dates, settlement types, and exercise styles—all within a regulated platform environment. They effectively combine the adaptability of over-the-counter (OTC) products with the transparency, capital efficiency, and clearing protections of platform-traded instruments. By bridging these two worlds, CEDX hopes to expand the range of strategies available for both hedging and portfolio construction.

Demand for such instruments is tied to the rise of defined-outcome ETFs, which use options strategies to deliver structured investment results like downside protection or income generation. In the U.S., assets in defined-outcome ETFs have surged from $5 billion in 2019 to over $70 billion in 2025, showing investor appetite for precision tools. The European rollout of FLEX options is expected to support similar product growth on the continent.

Takeaway

How Cboe Is Positioning FLEX Options For Europe

Cboe first introduced FLEX options in the U.S. back in 1993, and the contracts have gained traction as institutional investors look for customizable hedging answers. U.S. has grown from 2 million in 2019 to 35 million in 2025. Building on that momentum, CEDX plans to initially list FLEX contracts on European indices, single-country benchmarks, select equities, and ETFs, with expansion across 2026.

To ensure smooth operation, contracts will be , a major clearing house that reduces counterparty risk and improves capital efficiency. This infrastructure is designed to appeal to asset managers and ETF issuers who prioritize reliability and risk mitigation in their derivatives usage. The focus on platform-traded clearing also distinguishes FLEX , where counterparty exposure can be significant.

Iouri Saroukhanov, Head of European Derivatives at Cboe Europe, explained: “We’re excited to bring Cboe FLEX options to the European market, reflecting our continued commitment to innovation and building a largeger, more efficient and transparent listed derivatives ecosystem across the region. This launch represents a major milestone in our efforts to expand the range of platform-traded tools available to European investors, enabling them to better manage risk and tailor strategies to meet increasingly complex investment objectives.”

Takeaway

What Does This Mean For ETFs And Issuers?

The adoption of FLEX options in Europe is closely linked to the expansion of defined-outcome ETFs. These vehicles rely heavily on option-based structures to deliver predictable outcomes, and issuers in Europe have signaled their interest in deploying similar products. Cboe has already secured support from First Trust Global Portfolios and Vest Financial, both of which are experienced issuers of structured ETFs in the U.S.

Matt McFarland, Senior Vice President of Vest Financial, stated: “Cboe’s FLEX options provide the transparency and customisation that are key to developing products that viewks to enable investors to pursue defined outcomes, including downside protection, income generation, and enhanced growth. This is an exciting step towards greater access in Europe to platform-traded instruments that are designed to replicate the precision and flexibility we have long relied upon in the United States.”

Similarly, Rupert Haddon, Managing Director and Head of Sales at First Trust Global Portfolios, added: “We’re thrilled to view to the European market. Defined-outcome ETFs have viewn tremendous growth in the U.S., and European investors are increasingly viewking similar tools to assist manage risk and align investments with specific goals. Cboe FLEX options offer an ideal foundation for building these strategies through a regulated and transparent platform environment.”

Takeaway

How FLEX Options Fit Into Europe’s Derivatives Ecosystem

The launch aligns with CEDX’s mission to deepen participation in by offering innovative platform-traded products. By importing a proven U.S. concept and adapting it for European infrastructure, CEDX aims to expand both product breadth and investor engagement. The development is also likely to draw attention from asset managers viewking to replicate U.S. product structures in Europe’s regulated environment.

For institutional investors, FLEX options add an significant risk management lever at a time of rising market complexity and regulatory expectations. The ability to custom-tailor contracts on platform could reduce reliance on bilateral OTC trades, simplify oversight, and potentially lower costs. As more European asset managers explore structured outcome ETFs, having FLEX options listed on a regulated venue could accelerate product development pipelines.

Looking ahead, the expansion of FLEX options across additional underlyings in 2026 could broaden the ecosystem’s impact. If adoption mirrors the U.S. experience, defined-outcome strategies could view strong growth in Europe, supported by a more robust menu of platform-traded building blocks. The introduction of FLEX contracts thus represents not only product innovation but also a strategic step in evolving Europe’s capital markets infrastructure.

Takeaway