We are avid fans of options and continue to enjoy the flexibility, increased liquidity and availability that the Chicago Board of Options Exchanges (CBOE) and other options organizations are making available.
Meet “Mini Me” options available today
Today a new partial share (We nick named Mini Me) options are being rolled out on several exchanges for the following investments, Google (GOOG) , Gold (GLD), SPY (S&P 500), Amazon (AMZN) and Apple (AAPL).
Higher price is the common theme and the purpose of the “Mini Me”
These first few test cases are of higher priced issues and while we do not think Berkshire Hathaway will be next on the stage, we are very interested to monitor the popularity of this initial rollout. As a refresher, normal option contracts are a 1/100 ratio, meaning 1 option contract represents 100 shares. On higher prices securities, such as the ones being tested, even 1 option contract can be a big chunk of change.
Sharks in the “Mini me” water today enter real money at your own risk…Watch only!
Today’s as well as the foreseeable future, trading should, and will be, done by market makers, short term traders and professionals. Your money will be happily and quickly taken in this early trading if you dive in, as such, stay out of the water, for now!
Have a Great Monday!
JK214-706-4300 http://www.jkfinancialinc.com 8222 Douglas Ave # 590 Dallas, TX 75225