Choosing an Options Broker

With all of the volatility and uncertainty in the market, investing with options can be a good strategy to limit risk or speculate on a theory without putting down too much capital.  Trading with options can be risky and requires a good understanding of the underlying security and why options change in price, so . . . → Read More: Choosing an Options Broker

Rapid buildup of currency options open interest

Today, on NSE, derivatives trading showed the following numbers:

Product class Turnover (Billion rupees) Index futures 353 Index options 1981 Stock futures 391 Stock options 48 Currency futures 178 Currency options 30 Total 2981

This is really something: Rs.2.98 trillion notional rupees in a day. It’s starting to sound like a real market.

This . . . → Read More: Rapid Buildup of Currency Options Open Interest

Who Will Make the Exchange-Traded Currency Options Market?

In a few minutes, NSE and USE will start trading in currency options. This will be the first exchange-traded options in India on a non-equity underlying.

Currency options are obviously useful as a risk-management tool. I feel that futures are nice simple linear contracts: they ask the person to make only one decision — . . . → Read More: Who Will Make the Exchange-Traded Currency Options Market?