Hi Bazooka,
Let me say this...it would be my pleasure to discuss options. I am the Senior ROP, (Registered Options Principal), along with Bernie, for the firm, and consider myself fairly saavy in the use of options, complex positions etc. I think you find it less discussed because it is a less utilized product, just as we dont talk bonds up here, but lots of people make a living just trading those.
To answer a few of your questions, Yamner & Co., Inc., is quite good at working options. We put the same, sincere diligent effort into the options as any other position. But no matter how good your execution systems, no matter how good your firm or broker, they are still options...highly volatile, wide spread, low liquidity, basically a tough product for a short term trader.
1. Do you have to close out on same exchange? No. You can buy on one and sell on another. Arbitrage....very rarely..only rarely does a market maker in an option fall asleep and miss the option quote on another exchange, but yes it could happen.
Phila (x), Pcoast (p), Cboe (C), Amex (a) and one other trade options. one exchange is usually considered the primary exchange for the option, where all the big players are...in my experience, its usually the CBOE or Amex.
Many of our clients do business with us solely for the quality of our options fills. But don't expect the same degree and speed of execution because they lack liquidity, are widely spread, and dont have the same number of execution systems as listed or otc stocks.
Regards,
Steve@yamner.com |
