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The Option Alpha Podcast

177: The Trader's Guide to Index Options

The Option Alpha Podcast

Kirk Du Plessis

Investing, Trading, Stock Market, Business, Options Trading, Education, Finance

4.81.2K Ratings

🗓️ 22 April 2020

⏱️ 36 minutes

🧾️ Download transcript

Summary

Show notes: http://optionalpha.com/show177

Index options have continued to grow in popularity. Potentially because they are easy to use, available in highly liquid markets, have favorable tax treatment in some cases, and offer a simple settlement process. Therefore, we've dedicated an entire show to help you understand what index options are, how they work, how they are different from equity options, and what you need to be aware of if you decide to start trading them in your portfolio.

Transcript

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0:00.0

Index options have continued to grow in popularity, potentially because they're easy to use,

0:04.0

available in high liquid markets, have favorable tax treatment in some cases, and offer a simple settlement process.

0:09.7

Therefore, we've dedicated an entire show to helping you understand what index options are, how they

0:14.7

work, how they're different from equity options, and what you need to be aware of if you decide

0:19.4

to start trading them in your portfolio.

0:21.2

You're listening to the Option Alpha Podcast from Option Alpha.com, where we show you how to make

0:27.2

smarter trades. Learn how the stock market really works and generate consistent monthly income.

0:33.0

Now, your host, and head trader at option alpha.com, Kirk Dupluses.

0:38.0

All right, everyone. This is Kirk here again from option offer

0:42.9

com working every single week to make this the most popular investing

0:46.2

podcast offered online because it's based on one thing and one thing only and

0:50.3

that's helping you consistently play smarter, more profitable trades.

0:54.0

So again, thank you so much for tuning in today.

0:56.5

On today's show, number 177, we are going to cover the Trader's Guide to Index Options.

1:00.9

Basically, this should be your resource moving forward to

1:03.6

understand what index options are, how they work, why they're different from

1:06.8

equity options and everything that you need to know potentially around trading

1:10.4

index options. And like we said in the intro, index options have really grown in popularity.

1:14.8

And I think they will continue to grow in popularity. But that doesn't mean that we have to trade only

1:18.9

index products or that we should start trading away fromF. products in the future or stock products.

1:24.2

You just need to understand how index options work and how they're different from what you

1:28.0

are used to trading on the equity side.

...

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