“Het is een casino”, schreef een lezer.
Fair, but the casino element is concentrated in single stock options and 0DTE contracts, not the broader tape. Options volume now regularly exceeds share volume by notional value, which says more about retail positioning than about valuations.
There is billions in single stock leveraged ETF's. So it's not only in options. It is in the broarder market, just more disguised.
Small slice of AUM next to the options complex, but the disguise point holds. Dealers hedge it the same way they hedge 0DTE gamma.
Fair, but the casino element is concentrated in single stock options and 0DTE contracts, not the broader tape. Options volume now regularly exceeds share volume by notional value, which says more about retail positioning than about valuations.
There is billions in single stock leveraged ETF's. So it's not only in options. It is in the broarder market, just more disguised.
Small slice of AUM next to the options complex, but the disguise point holds. Dealers hedge it the same way they hedge 0DTE gamma.