Options on Currency ETFs

Discussion in 'ETFs' started by nravo, Jan 21, 2007.

  1. nravo


    Anyone know if these are in the works or tied up in some regulatory jurisdictional red tape? Talking about optionson FXE, FEA, FXS, etc.
  2. Maverick74


    I was told by ISE that they are going to have options on the 4 big pairs this quarter. They will not be options on the ETF's but options on a cash FX option. There is a press release somewhere on the ISE web site talking about it.
  3. rosy2


    phlx just started trading cash eurusd and gbpusd options. volume is nothing but the spread is tight
  4. nravo


    Yeah, cash currency options may make a comeback, and I already do currency futures options. I was wondering solely about options on currency ETFs, and if this was going to be a vry long wait because the underlying isn't a stock or stock index and thus there are competing regulatory bodies, or something like that. I mean there are all sorts of options on ETFs with less volume. So, these are a natural, I would assume.
  5. nravo


    I do, generally to hedge a futures or cash forex position, but sometimes also to pick up some income. OI doesn't tell me much. When were they bought or sold, for instance. EUR currency options are the most liquid, anyway. What do you read into the OI? I'm curious.
  6. nravo


    Oops. you said ETF currency options -- sorry. I try to stay away from them, although I play every now and then. Problem: the spreads and margin required, for the options and the ETFs, are not appealing to me compared to the options on EUR futures and cash forex Euro. Not even close.
  7. Liquidity?