The Options Guy (Asia)
Hamish Raw - interim consultant in all things traded options. Expert options risk manager and financial engineer.
Binary Options Instruments
Binary Options Instruments The majority of binary options instruments analysed and discussed will consist of combinations of binary options, not ‘outright’. Binary options (or for that matter conventional options) consist of outright calls and puts, or combinations of both. The possible combinations double in number when the outright calls and puts are divided into a […]
Binary Call Options
Binary Call Options Binary calls are all-or-nothing options that settle at 100 if in-the-money at expiry, or at zero if out-of-the-money. At-the-Money Settlement Rules If the underlying at expiry is exactly on the strike (at-the-money) settlement can be treated in numerous ways. The two obvious candidates are that the binary call options are treated as: […]
Two-Asset Binary Options
Two-Asset Binary Options Two-asset binary options consist of binary structures with two underlying asset prices and thereby necessitate a view on the volatility of those two asset prices plus a correlation coefficient that describes the relationship between the movements of those two asset prices. Two-asset binary options present a challenge in that having the extra […]
Knock-Out Binary Options
Knock-Out Binary Options Knock-out binary options are immediately settled at zero if the barrier (B) is touched or traded through. Knock-out binary options are inversely related to knock-in binary options. If one were long the down-and-out binary call where the strike (K) is higher than the barrier then until the barrier is triggered the position […]
Knock-In Binary Options
Knock-In Binary Options Knock-in binary options require that a barrier(B) be hit for the ‘knock-in’ to convert into a binary call, a binary put……… ……..a one-touch binary call, a one-touch binary put…….indeed, the binary options knock-in can convert into any other binary options instrument if the barrier is hit. Alternatively, if the barrier is not […]
One Touch Options
One Touch Options Path-Dependency One touch options are the binary options equivalent of conventional American-style options. One touch options are known as path-dependent options. This means that the underlying price at the expiry of the instrument is not critical; what is critical is the path of the asset price in getting to expiry. With one-touch […]
European Binary Options
European Binary Options European binary options are binary options that can only be exercised at expiry. This means that the final settlement price of the binary option is only determined at the expiry of the option. No Path-Dependency European binary options are not path-dependent which means that the path of the asset price leading to […]
Japanese Binary Options March 2019
Intro This article re: Japanese binary options to March 2019, covers what’s been going on in the Japanese binary market over the last two years. It uses extensively the data provided by the Financial Futures Association of Japan (FFAJ). In those two years volumes have drifted, some providers have come and gone, and as per […]
2019 Binary.com Review
2019 Binary.com Review Introduction Binary.com was initially a retail focussed, binary options broker. Binary.com now offers binary options and CFDs. The binary options platform is the in-house offering. The CFDs are offered on the globally recognised MT5 platform from Metaquotes. History This 2019 Binary.com review outlines the longevity of the business. Binary.com is the oldest […]
Simona Weinglass
Simona Weinglass receives Honorable Mention On Monday evening Simona Weinglass received an honorable mention for her investigation into Israel’s binary options industry. Simona is an investigative reporter for The Times of Israel. The occasion was the announcement by the Trace Foundation of the winners of the 2018 TRACE Prize for Investigative Reporting at an award ceremony in […]