Chapter1
Introduction
DerivativeMarketsandInstruments
Options
ForwardContracts
FuturesContracts
OptionsonFutures
SwapsandOtherDerivatives
TheUnderlyingAsset
SomeImportantConceptsinFinancialandDerivative
Markets
RiskPreference
ShortSelling
ReturnandRisk
MarketEfficiencyandTheoreticalFairValue
FundamentalLinkagesbetweenSpotandDerivative
Markets
ArbitrageandtheLawofOnePrice
TheStorageMechanism:SpreadingConsumptionacross
Time
DeliveryandSettlement
TheRoleofDerivativeMarkets
RiskManagement
PriceDiscovery
OperationalAdvantages"
MarketEfficiency
CriticismsofDerivativeMarkets
MisusesofDerivatives
DerivativesandYourCareer
SourcesofInformationonDerivatives
Summary
FurtherReading
QuestionsandProblems
PARTI
Options
Chapter2
TheStructureofOptionsMarkets
TheDevelopmentofOptionsMarkets
CallOptions
PutOptions
TheOver-the-CounterOptionsMarket
OrganizedOptionsTrading
ListingRequirements
ContractSize
ExercisePrices
ExpirationDates
PositionandExerciseLimits
OptionsExchangesandTradingActivity
OptionTraders
TheMarketMaker
TheFloorBroker
TheOrderBookOfficial
OtherOptionTradingSystems
Off-FloorOptionTraders
TheMechanicsofTrading
PlacinganOpeningOrder
TheRoleoftheClearinghouse
PlacinganOffsettingOrder
ExercisinganOption
OptionPriceQuotations
TypesofOptions
StockOptions
IndexOptions
CurrencyOptions
OtherTypesofTradedOptions
RealOptions
TransactionCostsinOptionTrading
FloorTradingandClearingFees
Commissions
Bid-AskSpread
OtherTransactionCosts
TheRegulationofOptionsMarkets
Summary
FurtherReading
QuestionsandProblems
Appendix2:MarginRequirements
Chapter3
PrinciplesofOptionPricing
BasicNotationandTerminology
PrinciplesofCallOptionPricing
TheMinimumValueofaCall
TheMaximumValueofaCall
TheValueofaCallatExpiration
TheEffectofTimetoExpiration
TheEffectofExercisePrice
TheLowerBoundofaEuropeanCall
AmericanCallVersusEuropeanCall
TheEarlyExerciseofAmericanCallson
Dividend-PayingStocks
TheEffectofInterestRates
TheEffectofStockVolatility
PrinciplesofPutOptionPricing
TheMinimumValueofaPut
TheMaximumValueofaPut
TheValueofaPutatExpiration
TheEffectofTimetoExpiration
TheEffectofExercisePrice
TheLowerBoundofaEuropeanPut
AmericanPutVersusEuropeanPut
TheEarlyExerciseofAmericanPuts
Put-CallParity
TheEffectofInterestRates
TheEffectofStockVolatility
Summary
FurtherReading
……
Chapter8
Chapter9
Chapter10
PARTII
Chapter11
Chapter12
Chapter13