News category: Sponsored Articles

There is a growing realization that good environmental, social and corporate governance performance and financial performance are linked and that integrating material ESG factors correlates with long-term financial returns and can help generate alpha. A BlackRock research report published in 2020 found that 94% of sustainable indices outperformed their parent benchmarks. With global investors transitioning

Continue reading

A common rule of thumb is that option implied volatility is overpriced more often than it is not. Stated in a more direct fashion, over a long period of time option sellers will be expected to profit from this semi-consistent state of option pricing. However, there are also periods of time where case where option

Continue reading

The Italian derivatives market is targeting institutional investors to boost liquidity in listed options and dividend futures, by adding new expiries and making trading improvements. At the same time, the IDEM is enhancing its offering for retail investors with its recently launched microFIB futures. The Italian derivatives market has attracted growing interest at an international

Continue reading

While retail participation in U.S. derivative products captured headlines thanks to unprecedented government fiscal support, social media enthusiasts and meme stocks; there is one corner of the world where regular investors and day traders are more than familiar with the opportunities that options trading present. Index options on South Korea’s Kospi 200 are among the

Continue reading

One of the great things about having multiple options expirations available is that short term outlooks may be traded utilizing option contracts. Late in the morning on Friday February 19 a trader came in with a short term outlook for the Nasdaq-100 (NDX) using options that expire on Wednesday February 24. With NDX at 13660

Continue reading

Futures based on the MSCI Tadawul 30 Index (MT30) were launched in August 2020 at the Saudi Stock Exchange or Tadawul.  This marked the first listed derivatives to be offered at the exchange and the first listed financial derivative launched in the region. The MT30 Index is derived from the broader MSCI Saudi Arabia Index

Continue reading

On Monday February 8, there was a trade that hit the tape when the Nasdaq-100 (NDX) was around 13,675. The specific trade bought 100 NDX Mar 5th 13900 Calls for 194.10 and sold 100 NDX Mar 8th 13900 Calls for 208.10 resulting in a net credit of 14.00 points. Usually when I come across a

Continue reading

In very general terms, implied volatility from stock options tends to behave in an anticipatory manner.  That is it rises when a company specific event is on the horizon and then drops to lower levels once the known (timing) unknown (market impact) event has occurred. The most common of these events is a company’s quarterly

Continue reading

The Hong Kong Exchange had a very busy 2020, from streamlining the IPO process to adding MSCI derivatives to their suite of offerings. A move that got the attention of many traders and investors was the creation of the Hang Seng Tech Index. The Hang Seng Tech Index was introduced to the market place in

Continue reading

On Jan. 7, EQDerivatives hosted an exclusive virtual forum titled Successful Options Strategies In 2020 And Beyond, in partnership with Cboe Europe Derivatives. In this exclusive virtual forum, Ade Cordell, president of Cboe NL – the Amsterdam-based exchange which will be home to Cboe Europe Derivatives – was joined by Pierre de Saab, a partner

Continue reading