Cboe Global Markets, Inc. (CBOE) — ESG & Values Scores

Environment story

Cboe Global Markets operates as a derivatives exchange and financial infrastructure company with minimal direct environmental footprint. No Scope 1, Scope 2, or Scope 3 emissions disclosures are available in SEC filings; the company operates primarily digital trading platforms and data centers but does not report carbon metrics. No net-zero target, renewable energy commitments, or decarbonization initiatives are disclosed. The company faces data-center infrastructure risks including cooling system malfunctions mentioned in risk factors, but these relate to business continuity rather than environmental policy. No water consumption, toxic waste, habitat, or resource controversies are documented in available sources. Absence of environmental disclosure combined with lack of net-zero commitment triggers multiple scoring deductions under the rubric.

Criticisms on file

No material criticisms on file for this pillar.

Disclosed initiatives

No disclosed initiatives on file for this pillar.

Social story

Cboe's workforce composition and labor relations data are limited in disclosed materials. The company reports 5 of 12 board nominees are women (42% board diversity) and 4 nominees are racially/ethnically diverse (33%). Executive leadership diversity is disclosed as approximately 42% women in leadership roles. No CEO-to-median-worker pay ratio is explicitly disclosed; proxy materials show named executive officer compensation but lack median-worker salary data needed for ratio calculation. No documented union suppression, major strikes in past 24 months, or supply-chain human-rights violations are apparent in provided sources. The company emphasizes talent retention and succession planning in governance materials and does not report material labor disputes. Diversity metrics fall short of 50% threshold in some categories, and pay-ratio data is undisclosed, resulting in moderate deductions.

Criticisms on file

No material criticisms on file for this pillar.

Disclosed initiatives

Diversity, Equity, and Inclusion Program

Company maintains DEI programs; 2025 compensation metrics previously included DEI goals (10% weight), reallocated to individual performance metrics. Board nominees include 42% women and 33% racially/ethnically diverse representatives.

Moderate — program exists but lacks quantified impact metrics in available disclosures
Talent Retention and Succession Planning

Compensation and Human Capital Committee oversees succession planning for CEO and executive officers; emphasis on attracting and retaining skilled personnel.

Ongoing — no documented failures; subject to competitive labor market risks noted in risk factors

Governance story

Cboe demonstrates strong governance structure with 10 of 12 board nominees (83%) independent, exceeding the 75% threshold. The company maintains split chairman and CEO roles with an independent Non-Executive Chairman (William M. Farrow, III). Single-class share structure with no dual-class voting disparities. Board composition reflects diverse expertise in financial markets, regulation, technology, and risk management. Annual director elections with majority voting standard support accountability. The company maintains robust proxy access bylaws, annual board self-evaluation, anti-hedging and anti-pledging policies for executives, and mandatory clawback provisions. Lobbying expenditures and PAC contributions are not fully quantified in provided documents; political contributions report was expanded following 2025 shareholder proposal (56.1% support) requiring disclosure of state/local contributions and trade association payments exceeding $25,000. No material antitrust proceedings, consumer-safety fines, or financial-fraud regulatory actions are evident in risk factors or proxy materials. One stockholder proposal (written consent) received board opposition with 44% shareholder support at 10% threshold, indicating governance divergence from some shareholders but within normal range.

Criticisms on file

Stockholder Proposal on Written Consent Rights: 44% of shareholders voted in favor of permitting written consent at 10% threshold, while Board recommended opposition. Proposal received 56.1% support in 2025 for related disclosure of political contributions, indicating governance preferences diverge from majority.
Source: CBOE_proxy.txt, Proposal 4—Shareholder Right to Act by Written Consent; Stockholder Engagement Highlights
SEC Scrutiny of Market Data and Access Fees: SEC has scrutinized market data and access fee structures; SEC disapproved 2024 proposed rule change regarding order and execution management systems (OEMS) designation as exchange 'facilities', requiring Cboe to seek exemptive relief and potentially increasing compliance costs.
Source: CBOE_10k.txt, Risk Factors—Revenues from our market data fees and access and capacity fees may be reduced; Legal Proceedings
Regulatory Compliance Complexity: CAT (Consolidated Audit Trail) funding obligations and implementation delays; potential SRO regulatory deficiency findings could result in substantial sanctions including revocation of exchange registration.
Source: CBOE_10k.txt, Risk Factors—We operate in a highly regulated industry; Commitments, Contingencies, and Guarantees

Disclosed initiatives

Independent Non-Executive Chairman

William M. Farrow, III serves as independent Non-Executive Chairman; position annually elected with expectation of 4-year service term.

Strong governance structure supporting board independence and management oversight
Proxy Access and Special Meeting Rights

Proxy access bylaw permits shareholders to nominate directors; shareholders may call special meetings at 25% threshold (following 2025 vote adjusting from previous 10% proposal).

Enhances shareholder rights and board accountability
Clawback and Anti-Hedging Policies

Mandatory and supplemental clawback policies apply to cash incentives and equity awards; anti-hedging and anti-pledging policies for executive officers.

Aligns executive compensation with risk management and long-term value creation
Political Contributions Transparency

Expanded disclosure of state/local political contributions and trade association payments exceeding $25,000 following 2025 shareholder proposal. Annual political contributions report published and presented to Board and relevant Committees. No corporate funds used for federal political activities or 501(c)(4) contributions.

Improved transparency; addresses stakeholder concerns regarding political spending alignment

These are Missionomics' own editorial scores — directional signals built from disclosed facts under a published method, not certifications or definitive ratings of Cboe Global Markets, Inc.. Coverage and confidence vary by data point, and figures can lag real-world changes. Read the full Methodology for sourcing, scoring, and correction details — or open Cboe Global Markets, Inc. in the app for interactive charts and portfolio building.

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