Equity and Index Options Explained

“An invaluable insight into the complex world of options which in this day and age can make or break a business.” – Sir Richard Branson, Founder of Virgin Group.
Are you looking to reduce your costs, enhance your returns and manage your price risk with certainty and precision? Look no further, Equity and Index Options Explained is the book for you!
Written by experienced trader and consultant Bill Beagles, this book is a practical guide to trading equity options for the everyman and everywoman whether you are a professional investor or a part–time “punter”.
You probably already know that options “erode”, that buying options costs money or that selling options can be dangerous, but to maximise your returns and minimise your risk you need to understand the bigger picture. You need to understand the decision making process, the way that option prices are likely to change and how to optimise returns.
This book will guide your way – moving you towards a full understanding of this wide–reaching subject. Starting from absolute basics and moving on to advanced trading techniques; Bill explains both the theory and practice of equity options in clear, accessible terms.
Starting with a basic introduction to the subject and the language of trading equity and index options, the book moves on to cover option uses, pricing and strategy, then a range of option spreads before concluding with the ways in which options may be combined with the underlying.
It includes plenty of real–world examples drawn from Bill’s extensive career in the industry, along with practical trading tools, including links to a pricing model, and resources. Plentiful exercises of varying degrees of difficulty are also included directing you towards a truly intuitive understanding of the subject.
Trading equity options is a volatile business; options present a unique opportunity to manage and exploit tha t volatility. Don′t let a lack of knowledge hold you back!

Spis treści:
Foreword.
Preface: Trading Language and Products.
1 Option Basics.
2 Option Specifications.
3 Exercise and Assignment.
4 Option Uses.
5 Option Price and Value.
6 “Moneyness”.
7 Pricing Options.
8 Skew.
9 Option Pricing Revisited: the “Greeks”.
10 Basic Option Strategy.
11 Option Spreads.
12 The Collar (Fence).
13 Long Call Spreads (Bull Call Spreads).
14 Long Put Spreads (Bear Put Spreads).
15 Short Call Spreads (Bear Call Spreads).
16 Short Put Spreads (Bull Put Spreads).
17 Selling Naked Puts versus Selling Put Spreads.
18 Long Verticals versus Short Verticals.
19 Long Straddles.
20 Long Strangles.
21 Short Straddles.
22 The Iron Butterfly.
23 Short Strangles.
24 The Iron Condor.
25 Calendar Spreads.
26 Long Call Calendars.
27 Short Call Calendar Spreads.
28 Long Put Calendar Spreads.
29 Short Put Calendar Spreads.
30 Diagonal Spreads.
31 Yield Enhancement.
32 Gamma Trading.
33 Resources.
34 Summary.
Glossary.
Index.

Nota biograficzna:
W.A. Beagles graduated in economics in 1984, before starting his City career with Lloyds Bank as an FX trader and going on to help establish the bank’s presence on the LIFFE trading floor. In 1986, Bill joined AOT, a specialist option trading firm, for whom he traded a range of option products on LIFFE and LTOM in London, the MATIF in Paris, the EOE in Amsterdam and the electronic DTB (fore–runner of Eurex) in Germany. Following in the footsteps of many successful traders before him, Bill “went local” in 1994, making markets in the FTSE 100 Index option on LIFFE. When the open outcry trading floor closed in 2000, Bill had the honour of ringing the closing bell for the final time.
Joining up with Simon Hart and Andy Swaine, two long term friends and fe llow traders, Bill then set up K2 London, a trading company that combines day–to–day derivatives trading with fund management, education and consultancy. Since 2000, Bill has provided specialised education and consulting services to a wide range of institutions including LIFFE and the LSE in London and to a range of government agencies and major companies across the globe.
Bill’s combination of current market knowledge and educational experience allows him to present the complex subject of options in a clear and intuitive fashion.

Okładka tylna:
“An invaluable insight into the complex world of options which in this day and age can make or break a business.” – Sir Richard Branson, Founder of Virgin Group.
Are you looking to reduce your costs, enhance your returns and manage your price risk with certainty and precision? Look no further, Equity and Index Options Explained is the book for you!
Written by experienced trader and consultant Bill Beagles, this book is a practical guide to trading equity options for the everyman and everywoman whether you are a professional investor or a part–time “punter”.
You probably already know that options “erode”, that buying options costs money or that selling options can be dangerous, but to maximise your returns and minimise your risk you need to understand the bigger picture. You need to understand the decision making process, the way that option prices are likely to change and how to optimise returns.
This book will guide your way – moving you towards a full understanding of this wide–reaching subject. Starting from absolute basics and moving on to advanced trading techniques; Bill explains both the theory and practice of equity options in clear, accessible terms.
Starting with a basic introduction to the subject and the language of trading equity and index options, the book moves on to cover option uses, pricing and strategy, then a range of option spreads before concluding with the ways in which options may be combined with the underlying.
It includes plenty of real–world examples drawn from Bill’s extensive career in the industry, along with practical trading tools, including links to a pricing model, and resources. Plentiful exercises of varying degrees of difficulty are also included directing you towards a truly intuitive understanding of the subject.
Trading equity options is a volatile business; options present a unique opportunity to manage and exploit that volatility. Don′t let a lack of knowledge hold you back!