In a pair of moves targeting retail investors, the Bourse de Montréal Inc. (MX) is proposing to list “mini” options on the S&P/TSX 60 index and to introduce daily options expiries.
In a paper seeking public feedback, the MX is proposing rule changes to allow for the listing of Mini S&P/TSX 60 Index options — which are designed to appeal to retail investors by introducing smaller, more accessible contracts — and to offer options that expire every day, to give investors “more granular” tools for diversification.
“These combined efforts modernize the exchange’s offering, providing retail investors with a more responsive and accessible marketplace,” the exchange said in its notice.
The proposed minis would offer options that are one-tenth the size of a standard contract, making them more appealing to retail investors, along with cash settlement that aims to enhance the retail investor experience “by removing the complexities and capital requirements associated with physical share delivery,” it said.
Additionally, the proposed introduction of daily expiries is intended to give investors greater precision and flexibility in managing their portfolios.
“By offering options that expire every business day, the exchange provides a more comprehensive service suite for managing short-term risk and navigating intraday price movements,” the MX said.
“This is particularly beneficial for investors looking to hedge against specific, time-sensitive events — such as economic data releases or central bank announcements — more effectively,” it added.
To start, the MX is proposing to offer daily expiries in the new mini index options, before rolling the initiative out more broadly.
“Once the market and clearing infrastructure have successfully adjusted to these new daily expiries, the exchange intends to expand daily expiries to include physically delivered ETF options,” it said.
Assuming these initiatives are approved, the MX intends to start listing the mini index options in the third quarter 2026, with the addition of daily expiries expected to launch in the first quarter of 2027.
The deadline for providing feedback on the proposals is July 29.