DEFINITION of 'Registered Options Trader'
An individual working on the floor of an exchange whose function it is to watch a number of options traded on the exchange to ensure that they are being traded fairly, in fair market conditions. The individual may trade for him/herself or for other parties, but is under no obligation to 'make a market' for any options traded on the exchange.
Next Up
BREAKING DOWN 'Registered Options Trader'
A registered options trader is a specialist dealing in options, but he or she does not necessarily perform the function of a market maker.
RELATED TERMS
-
International Securities Exchange ...
An electronic options exchange that was launched in 2000. The ... -
Floor Trader - FT
An exchange member who executes transactions from the floor of ... -
Options On Futures
An option on futures gives the holder the right but not obligation ... -
Exchange-Traded Option
An exchanged-traded option is a standardized contract to either ... -
Short Leg
Any contract in an option spread in which an individual holds ... -
Stock Option
A privilege, sold by one party to another, that gives the buyer ...
Related Articles
-
TradingStock Options: What's Price Got To Do With It?
A thorough understanding of risk is essential in options trading. So is knowing the factors that affect option price. -
TradingTrading Options on Futures Contracts
Futures contracts are available for all sorts of financial products, from equity indexes to precious metals. Trading options based on futures means buying call or put options based on the direction ... -
TradingHow to Make Money by Trading Index Options
Index options are less volatile and more liquid than regular options. Understand how to trade index options with this simple introduction. -
InvestingWhy Options Trading Is Not for the Faint of Heart
Trading options is not easy and should only be done under the guidance of a professional.
RELATED FAQS
-
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 >> -
What's Required for a Stock to Trade as an Option?
Learn the four criteria companies must meet before options on their stock can be traded. Read Answer >> -
Why are traders on the floor of the exchange?
Learn how trading on the floor of the stock exchange has evolved over time with computers now managing the majority of buying, ... Read Answer >> -
Does the seller (the writer) of an option determine the details of the option contract?
The quick answer is yes and no. It all depends on where the option is traded. An option contract is an agreement between ... Read Answer >>