Commentary

Ivy Schmerken
Traders Magazine Online News

MiFID II Transparency Puts Stress on Data Architecture

Buy-side firms are facing huge changes in disclosure and transparency requirements, which could upend their data management architectures, according to this guest commentary from FlexTrade.

Traders Poll

Are you concerned about foreign ownership of a U.S. stock exchange?



Free Site Registration

February 1, 2011

Options 'Too Risky'?

By Peter Chapman

Three-quarters of American retail investors have never traded options. That's according to a survey just released by TD Ameritrade.

The big broker hired an outside polling firm to canvas a random sample of affluent houses. A total of 650 respondents participated in the survey. The reasons cited for avoiding the derivative were three: Options are too risky, unnecessary or overly complex. The results mirrored those unearthed by TowerGroup last year in a survey of institutional investors it conducted for the Options Industry Council. TowerGroup interviewed representatives from 30 money managers, and learned that one-third eschewed options. Those firms on the sidelines said they avoided options because they were too risky and because there was bias within their firms against using options.

 

(c) 2011 Traders Magazine and SourceMedia, Inc. All Rights Reserved.

http://www.tradersmagazine.com http://www.sourcemedia.com/