Charles Schwab and Cboe to Launch S&P 500 Prediction Trading Products

Key Facts

In a move reflecting the growing interest of traditional financial institutions in prediction markets, Charles Schwab is collaborating with Cboe Global Markets to develop prediction-style trading products based on the S&P 500 index. The partnership aims to offer Mini-SPX options as a regulated alternative to unregulated platforms such as Polymarket and Kalshi. This initiative seeks to capture retail interest in binary 'yes-or-no' trading within a secure, regulated framework.

This development comes as prediction platforms experience explosive growth, with Polymarket reportedly surpassing $1 billion in trading volume during 2024, prompting traditional brokers to defend their market share. In comparison to peers, Interactive Brokers recently expanded its ForecastEx platform, signaling an intense race among major brokerages to integrate event-based trading tools according to market data.

At the close of June 18, 2026, SCHW shares stood at $91.70, while CBOE shares closed at $249.10 per market data. Investors are closely monitoring for any regulatory updates from the CFTC regarding these new contracts. Additionally, the market is looking ahead to key economic catalysts that could impact S&P 500 volatility, including the UK interest rate decision scheduled for June 17, 2026.