CHICAGO–(BUSINESS WIRE)–The Small Exchange, a futures exchange offering smaller, simpler products aimed toward retail customers, today announced it will launch the first Cannabis Equity Index Future (S420). Trading of S420 will begin on June 21, 2021.
Since launching in June 2020, the Small Exchange continues to drive accessibility for retail investors with continued adoption of its innovative and first to market products such as Small Treasury Yield (S10Y) and Small US Crude Oil Futures (SMO). The introduction of Small’s products has led other market participants to shift focus to smaller contract products for retail traders.
The Small Exchange’s monthly average trading volumes are up 42% from last year with open interest up over 250% from 2020 and unique users up over 50%. March also experienced huge volumes up over 75% from the previous month.
Don Roberts, the Small Exchange President and CEO shared, “We are thrilled to see increased adoption of our small contract products, to continue to open the markets to smaller investors and drive other firms and exchanges to focus on this customer segment. Adding the S420, the first futures contract on pot stocks shows we are committed to creating smaller, capital efficient products that the retail trader can utilize. We have exciting developments in the near future to share that will lead to better pricing, diversification and new smaller contract products.”
The Small Cannabis Equity Index Future measures the performance of 21 marijuana stocks driving the future of the cannabis industry, the index includes growers, recreational producers, medical marijuana producers, and CBD companies. S420 will allow for investment without single stock risk, speculation, capital efficiency and risk management for all participants.
“We are a strong believer in delivering opportunities for investors and enabling them to access differentiating products,” said Scott Sheridan, CEO of tastyworks. “The Small Exchange continues to open up the futures marketplace for retail investors in a way we have not seen before. The launch of the first Cannabis Futures contract is a testament to that innovation. We are looking forward to their addition of options as it will make for an even stronger product offering.”
The Small Exchange experienced its top 10 trading days in 2021 and expects this volume will continue as it adds option trading as well as extends its trading hours.
The Small Exchange has 21 partners including some of the world’s largest trading firms, brokerages and market markets including Kore and Budo Trading, Citadel and Jump Trading. It has launched eight products covering everything from stocks and bonds to commodities and currencies and traded more than $2.4 billion in notional value. To learn more about the Small Exchange’s offering, visit www.thesmallexchange.com.
About Small Exchange: Based in Chicago, the Small Exchange – backed by award-winning industry innovators and powered by a proprietary trade matching engine – is a registered Designated Contract Market (DCM) with the Commodity Futures Trading Commission (CFTC). The Small Exchange’s mission is to become the world’s largest customer-centric futures exchange, bringing products that bridge the product gap for investors of all sizes by providing futures products that are smaller, more capital efficient, simple to use, and easy to understand for all participants. The company will facilitate the trading of exchange-created proprietary products for all types of market participants including, but not limited to market-makers/liquidity providers, Introducing Brokers (IBs), Futures Commission Merchants (FCMs), proprietary trading firms and hedge funds, all with a primary focus on the public retail customer. Please visit www.thesmallexchange.com for more information.