Analysis Of Stock Index Options Trading Strategies

In this paper, we start to research with the simulation CSI300stock index options onthe line in November last year.A systematic study of the options, in particular stock indexoptions on options about trading strategy which will exist on the financial markets after theofficial launch. For speculative arbitrage side options market, we conduct a summary of thecurrent investment strategy on derivatives known with combinations of various options. Interms of hedging options, we focuse on the combination of options Delta neutral dynamichedging strategies; because the underlying stock index optionsdoes not exist, this paperstudies how to fit the CSI300Index.Then, we conduct empirical analysis: the use of indexoptions on the line last year, with a basket of stocks to simulate the stock, to prove theeffect of Delta neutral approach and dynamic hedging method. Finally, we summery that avariety of trading opportunities that may arise, including speculation, arbitrage, hedgingand other strategies and make a simple comparison for those strategies, for those are aboutto enter the options market...