Federal Register #2026-14635

CFTC Grants CME Exemption to List Cash-Settled Futures on Individual Equity Securities

This summary covers a regulatory action by the Commodity Futures Trading Commission (CFTC) granting exemptive relief to the Chicago Mercantile Exchange Inc. (CME) for listing cash-settled futures on individual equity securities. - Government Buyer: - Commodity Futures Trading Commission (CFTC) - OEM/Vendor Highlighted: - Chicago Mercantile Exchange Inc. (CME) - Products/Services Requested: - No procurement of goods or services; this is a regulatory exemption enabling CME to list new cash-settled futures contracts - Product referenced: Cash-Settled Futures on Individual Equity Securities (no part numbers or quantities specified) - Unique or Notable Requirements: - Underlying securities must have: - Estimated deliverable supply over 20 million shares - Minimum outstanding market capitalization of $100 billion - Minimum average daily value traded (ADVT) of $450 million over prior six months (or $1 billion over prior month if trading for less than six months) - To maintain listing: - Market capitalization must remain at least $50 billion - ADVT must remain at least $200 million over prior quarter (or $1 billion if trading for less than a quarter) - Contract expiration limited to nine months - CME must provide public market data and conduct an 18-month study on market impact - Position limits and anti-manipulation rules apply - No procurement or contract opportunity is present; this is a regulatory order, not a solicitation or award.

Description

The Commodity Futures Trading Commission (CFTC) issued an order providing exemptive relief from the opening price settlement requirement for security futures products. This relief facilitates the Chicago Mercantile Exchange Inc.'s (CME) plan to list cash-settled futures on individual equity securities. The order includes specific listing standards and conditions to ensure market integrity and protection of customers. The exemption is applicable as of July 16, 2026, and aims to accommodate CME's registration as a designated contract market and national securities exchange.

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