Wednesday, February 08, 2012

Simple options thrive in risky world - SuperDerivatives | Reuters

Simple options thrive in risky world - SuperDerivatives | Reuters:

"What we see is that people are pricing fairly simple structured products, fairly commoditised products. It's not what we saw five or six years ago when every month banks were inventing a new product."

The pace of growth in the equity derivatives market has slumped from the 33 percent seen in 2007 - before the 2008 collapse of Lehman - to 9 percent in 2011, according to data from the World Federation of Exchanges. Within that, stock index options are the most popular category and are enjoying the strongest growth.

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