Nasdaq Launches Electronic Flex Options on ISE to Meet Institutional Demand
Nasdaq has introduced electronic Flexible Exchange Options (Flex Options) on its International Securities Exchange (ISE), responding to growing institutional interest in customized derivatives. The new contracts allow investors to tailor exercise style, expiration date, strike price, and settlement type—including cash-settled ETFs—providing unprecedented flexibility in volatile markets.
The move comes as U.S. options volume surges, with institutions increasingly using these instruments for risk management. Unlike standardized contracts, Flex Options enable precise hedging strategies that adapt to rapidly changing market conditions.