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Covid halted variance trading. Can Cboe revive the market?
With liquidity in variance swaps drying up, traders may finally be ready to give futures a shot
![Variance-Getty-1677900804 Variance-Getty-1677900804](/sites/default/files/styles/landscape_750_463/public/2024-07/Variance-Getty-1677900804.jpg.webp?itok=O8sZKrGg)
After two failed attempts at listing variance futures on the S&P 500, Cboe is taking a third run at convincing traders to adopt the contracts.
Twenty years after its first try, the exchange is betting a more user-friendly structure and new margin requirements for non-cleared trades will stimulate demand for a new version of a product it delisted in 2022.
“This time, what’s really different – and how the market has changed – is there have been some changes to uncleared margin rules that have
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