Financial Times Guide to Options, The: The Plain and Simple Guide To Successful Strategies, 2nd edition

Published by FT Publishing International (27 August 2013) © 2014

  • Lenny Jordan
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  • A print edition

Title overview

The Financial Times Guide to Options, will introduce you to the instruments and markets of options, giving you the confidence to trade successfully. Options are explained in real-life terminology, using every-day examples and accessible language. Introducing three key options markets – stocks, bonds and commodities, the book explains options contracts from straight vanilla options to strangles and butterflies and covers the fundamentals of options pricing and trading   

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Table of contents

  • Preface
  • About the author
  • About this book
  • Introduction
  • Part 1 – Options fundamentals
  • 1  Options in Everyday life
  • 2  The basics of calls
  • 3  The basics of puts
  • 4  Pricing and behaviour
  • 5  Volatility and pricing models
  • 6  The Greeks and risk assessment: delta
  • 7  Gamma and theta
  • 8  Vega
  • Part 2  - Options spreads
  • 9  Call spreads and put spreads
  • 10  One by two directional spreads
  • 11  Combos and hybrid spreads for market direction
  • 12  Volatility spreads
  • 13  Iron butterflies and iron condors
  • 14  Butterflies and condors
  • 15   The covered write, the calendar spread and the diagonal spread
  • Part 3 – Thinking about options
  • 16  The interaction of the Greeks
  • 17  Options performance based on cost
  • 18  Options talk 1
  • 19  Options talk 2: trouble shooting and common problems
  • 20  Volatility skews
  • Part 4 – Basic non-essentials
  • 21  Futures, synthetics and put-call parity
  • 22  Conversions, reversals, boxes and options arbitrage
  • 23  Conclusion
  • Glossary
  • Suggestions for further reading
  • Index of underlying contracts

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