Overview

NYSE Arca Options – ETFs & HOLDRs - Overview

NYSE Arca ETF and ETN Options, Exchange Traded Funds, Index Funds Trusts, Intraday Trading, Quarterly Options NYSE Arca Options trades more than 250,000 options series based on approximately 2,400 equity issues. This includes the trade options on approximately 70 exchange-traded funds (ETFs) and HOLding company Depositary Receipts (HOLDRs).

ETF Options
Exchange-traded funds are index funds or trusts that are traded intraday on an exchange. They allow an investor to buy or sell shares of an entire stock portfolio in a single security.

Options on ETFs operate the same as individual equity options. They offer the efficiency of ETFs with the flexibility of options and allow investors to:

  • Gain exposure to the performance of an index;
  • Hedge and hence protect a portfolio against a decline in assets;
  • Enhance returns on a portfolio
  • Profit from the rise or fall of an ETF by taking advantage of leverage.

 

ETF options are standardized put and call options on underlying ETFs. Minimum trade size is one option contract, with each contract representing 100 shares of the underlying ETF.

For more information, please see ETF option specifications.