Certified Options Trader

Introduction

• Indian Derivatives Market: An Overview
• What are Derivatives?
• Evolution of Derivatives Market
• Types of Derivatives

Understanding Options

• Options: An Overview
• Types of Options
• Advantages of Options
• Trading System
• Procedure for Margin Collection
• Types of Orders
• Settlement Schedule for Option Contracts
• Settlement Mechanism
• Writing of Options

Option Trading

• Market-wide Limits

Price Index

• What is Index?
• Eligibility Criteria of Indices
• Construction of Index
• Desirable Attributes of an Index

Pricing Of Options

• Black-Scholes Option Pricing Model
• Pricing of Equity Options
• Pricing of Options on Dividend Paying Scripts
• Binomial Model of Option Pricing
• Pricing of Binomial Put Option
• Binomial Multiple Period Model

Strategic Derivative Tools

• Put-call Parity
• PC Ratio
• Weighted PC Ratio
• Volume PC Ratio

Tools to Measure Market Sentiment

• Volatility

Types of Volatility

• Estimating Volatility
• Estimating Historical Volatility
• Factors Affecting the Computation of Historical Volatility
• Implied Volatility
• Volatility Smile
• GARCH
• Impacts of Implied Volatility and Underlying Asset Price on Purchase of Options
• Volatility Trading
• NSE Volatility Index
• Behavioral Study of Nifty Options Distress
• Impacts of Events on Volatility-A Case Study
• Comparative Study of the Behavior of Nifty and IT Stocks During an Event
• Impact of Quarterly on Stock Futures
• Volatility Skew
• Stochastic Volatility
• Volatility Arbitrage
• Volatility Change
• Option Greeks
• Delta
• Gamma
• Vega
• Theta
• Rho

Option Trading Strategies

• Advantages of Strategies
• Buying Put Option
• Bear Spread with Puts
• Long Put Ratio Spread
• Bear Spread with Call
• Synthetic Short
• Short Put Ladder
• Long Combo
• Long Call Christmas Trees
• Short Put Albatross
• Short Straddle versus Put
• Short Strip with Calls
• Long Guts
• Long Call Ladder
• Long Iron Butterfly
• Long Put Spread versus Short Call
• Basic Option Strategies
• Trading Strategy Adopted by Nick Leeson
• Short Straddle
• Long Straddle
• Covered Call Writing
• Probability
• Spread Trading
• Contango and Backwardation
• Trading Strategies with Long -Term Options
• Portfolio Hedging by Call Writing Portfolio Hedging Through Delta Hedge
• Diagonal Spread

Market Information

• Introduction
• Risk In Derivatives

Risk in Options

• Is Writing Options a High Risky Strategy?
• Classification of Risks
• Elimination of Market Risk through Hedging
• Accounting And Taxation Of Option Trading
• Accounting Norms for Equity and Index Options
• Charges in F&O Segment
• Taxation of Derivatives
• Income Tax