Index Options Settlement Overview

Glossary:
T: Expiration date
T-1: 1 trading day before expiration date
Settlement index: An index compiled by the option index compilation company according to established rules, which is used to determine the settlement price of options.
SET: The Settlement Index for AM-settled SPX Options
SPX: The Standard & Poor's 500 Index, whose closing price serves as the settlement price for PM-settled SPX options.
XSP: The Mini S&P 500 Index, whose closing price serves as the settlement price for PM-settled XSP options.
VRO: The Settlement Index for VIX Index Options.
RSL: The Settlement Index for AM-settled RUT Options.
RUT: The Russell 2000 Index, whose closing price serves as the settlement price for PM-settled RUT options.
XQO: The Settlement Index for AM-settled NDX Options.
XQC: The Settlement Index for PM-settled NDX Options.
DJS: The Settlement Index for DJX Options.
Exercise style: American vs European
Individual stock options and ETF options are typically American-style options, while the majority of index options are European-style. Unlike American-style options, European-style options do not allow for early exercise or assignment.

Options trading entails significant risk and is not appropriate for all customers. It is important that investors read Characteristics and Risks of Standardized Options before engaging in any options trading strategies. Options transactions are often complex and may involve the potential of losing the entire investment in a relatively short period of time. Certain complex options strategies carry additional risk, including the potential for losses that may exceed the original investment amount. Supporting documentation for any claims, if applicable, will be furnished upon request.
Moomoo does not guarantee favorable investment outcomes. The past performance of a security or financial product does not guarantee future results or returns. Customers should consider their investment objectives and risks carefully before investing in options. Because of the importance of tax considerations to all options transactions, the customer considering options should consult their tax advisor as to how taxes affect the outcome of each options strategy.
The content is for informational purposes and is not a recommendation of any specific securities. The data and information provided has been obtained from sources considered to be reliable, but Moomoo Financial and its affiliates do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.
Moomoo is a financial information and trading app offered by Moomoo Technologies Inc. Securities are offered through Moomoo Financial Inc., Member FINRA/SIPC. 
Moomoo Financial Inc. currently only supports trading European-style US index options.