Make Options Easy on equity indices
The dramatic growth of equity index futures has been accompanied by the substantial growth of equity index options. These options come in three forms:
- Options on the spot index itself such as the contract traded in the London International Financial Futures and Options Exchange — like the futures, these options are settled in cash, rather than by delivery of the underlying securities. Sometimes both European and American options are traded on the same index.
- Options on the index futures are American options that call for delivery of an equity index futures contract at expiry.
Posted: June 26th, 2008 under Foreign Exchange Futures, Futures Contracts, Futures Index, Futures Market, Futures Options, Stock Market Futures, Swap Futures.
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