Tuesday, July 17th, 2018

How to Buy Options on Oil

How to buy options on oil has become an important question as political discontent rises in Libya, Egypt, Yemen, and other points across North Africa and the Middle East. One possibility is to buy options on oil futures and the other is buy options on oil stocks. How to buy options on oil producing companies [...]

What Happens to a Call Option if a Company Splits Up?

How to trade stock options can vary with sometimes unforeseen circumstances. For example, what happens to a call option if a company splits up? What happens if the company merges with another company? How about when dividends are paid? For options traded on the CBOE, the Chicago Board Options Exchange, options are adjusted to fit [...]

When Do Options Expire?

A useful piece of information in knowing how to trade stock options is knowing when do options expire. This is basically necessary for options trading as an expired option is a worthless option. When do options expire depends to a degree on the type of option. Regular options expire on the Saturday following the third [...]

What Are Options on Interest Rates?

Interest rate options are cash settled options on the yield of US Treasuries. What are options on interest rates good for and who trades them? They are European-style in that they are only settled on their expiration date although they can be bought and sold throughout the duration of the contract. Those buying interest rate [...]