The Options Market Place - Introduction

Listed options trade on exchanges in a manner that is similar to the trading in listed stocks. The exchanges maintain orderly markets for listed options and provide investors with a marketplace to buy and sell options. Because options are derivative securities and there are different types, classes and series of options, the options market has some unique trading features.



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RELATED TERMS
  1. Option Class

    The set of all the call options or all the put options for a ...
  2. Optionable Stock

    A stock that has options trading on a market exchange. Not all ...
  3. Listed Option

    An option that is sold on a registered exchange, such as the ...
  4. Exotic Option

    An option that differs from common American or European options ...
  5. Exchange-Traded Option

    An option traded on a regulated exchange where the terms of each ...
  6. Back Fee

    A payment made to the writer of a compound option in the case ...
RELATED FAQS
  1. How can I find out which stocks also trade as options?

    The trading of options has become increasingly popular among retail investors as they become aware of the many different ... Read Answer >>
  2. What's the difference between a regular option and an exotic option?

    Before learning about exotic options, you should have a fairly good understanding of regular options. Both types of options ... Read Answer >>
  3. Do options make more sense during bull or bear markets?

    Understand how options may be used in both bullish and bearish markets, and learn the basics of options pricing and certain ... Read Answer >>
  4. Is it possible to trade forex options?

    Yes. Options are available for trading in almost every type of investment that trades in a market. Most investors are familiar ... Read Answer >>
  5. How can derivatives be used to earn income?

    Learn how option selling strategies can be used to collect premium amounts as income, and understand how selling covered ... Read Answer >>
  6. Why do option volume quotes differ on different websites?

    Option quotes are different in price and in volume because identical options can trade on more than one market or exchange. ... Read Answer >>
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