When do VIX options trade?
9:30EST - 16:15EST
When do VIX options expire?
On the Wednesday that is 30 days prior to the third Friday of the calendar month immediately following the expiration month
The final settlement price for the VIX options contracts is determined by
the opening price (usually a Wednesday) of their expiration through a Special Opening Quotation (SOQ)
A synthetic put is
A long call, short stock
Trading permit holder
Those issued authority by the CBOE to transact business on the exchange
Market-maker permits (MMP)
Give the holders the ability to stream quotes to the exchange and submit orders
Electronic access permits (EAP)
Give holders the ability to submit orders only
Market-wide circuit breaker rules state that for Level 1 & 2 halts, trading will not halt at or after
3:25pm
When assigned on a covered call, the cost basis of the stock sold is
the original purchase price of the stock. It is not adjust based on the premium received for the written contract.
What style of options may be exercised during a trading halt?
American style options may be exercised.
LEAPS have a maximum duration of
39 months
Ratio writing is
a strategy where the customer seeks to increase income by writing more calls than are covered by the stock the customer owns.
