Student Lounge Purchasing options for retail investors?

Purchasing options for retail investors?

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      Does anyone know where a retail investor (i.e. me!) can purchase options on specific equities?

      Primarily because company policy prohibits me from short-selling, however a cash-settled put option would be a possibility that I think is allowed. Call options can also be a cheaper way to benefit from undervalued equities without having to stump up the full underlying capital.

    • Avatar of Zee TanZee Tan
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        You can short generic indices through ETFs. On individual equities….how about spread betting?

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        Call options can also be a cheaper way to benefit from undervalued equities without having to stump up the full underlying capital.

        Spread betting!

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        Unfortunately, I’m not aware of any stock brokers as such offering option purchase to retail investors. Usually you can purchase derivative products through private banks HNWI, which they have to assess and you have to acknowledge that you’re an educated investor of some sort to limit their liability.

        These things are usually highly regulated, and the amount retail investors purchase are usually too small for them to bother (traders normally want to go for bulk anyway as pricing a trade takes time. Not worth his time even if it’s £10k). That’s why there so many structured derivative products aimed at retail investors distributed through private banks to the high net worth individuals (HNWI).

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