Charles Schwab’s wealth management division enters the prediction market business and will offer S&P 500 event contracts

BlockBeats News. June 20, according to The Wall Street Journal, Charles Schwab is working with Cboe to launch all-or-nothing options contracts that allow clients to trade “yes or no” based on the performance of the S&P 500 index.

Insiders say these contracts are somewhat different from prediction market contracts offered by platforms like Kalshi or Polymarket, which list futures contracts rather than options. But these binary options are similar in function: if the index closes above or below the target price, the contract will pay a fixed cash settlement amount; otherwise, no payment is made.

Insiders say Charles Schwab plans to make these types of contracts available to clients in the coming months.