Option is one of the important risk management tools in the financial market and an inseparable part of the financial market. 1. What are the requirements for opening an account with individual stock options? (1) The market value of the securities entrusted by the option management institution when applying for opening an account and the available balance of the fund account (excluding the securities and funds for margin financing and securities lending), with a total of not less than RMB 500,000; (2) Having been trading in a securities company for more than 6 months and having the qualification experience of participating in margin trading or financial futures trading; Or have opened an account with a futures company for more than 6 months and have experience in financial futures trading; (3) Having basic knowledge of options and passing relevant tests recognized by this Exchange. (4) Having experience in simulated trading of options recognized by this Exchange. (5) Having corresponding risk tolerance; (6) There is no serious bad credit record, and options trading is prohibited or restricted by laws, regulations, rules and the business rules of this Exchange; (7) Other conditions stipulated by this Exchange. Bring business license, organization code certificate, other identification materials, power of attorney, option test certificate (that is, the test results on the website of Shanghai Stock Exchange) and net assets certificate (the latest annual balance sheet with official seal or the monthly balance sheet with no more than 3 months from the application date). 2. What are the stock options in the contract? An option is a contract between two parties on future trading rights. As far as individual stock option is concerned, the buyer (obligee) of the option obtains a right by paying a certain fee (royalty) to the seller (obligor), that is, the right to buy or sell an agreed number of specific stocks or ETFs from the option seller at an agreed time and price. Individual stock option contract refers to the standardized contract formulated by the exchange, which stipulates that the buyer has the right to buy or sell the agreed underlying securities at a specific price at a certain time in the future. The buyer obtains this right at the cost of paying a certain amount of option fee (also called royalty), but does not undertake the obligation of buying and selling. After receiving a certain amount of option fee, the seller must unconditionally obey the buyer's choice within a certain period of time and fulfill the promise at the time of trading. Stock options can be divided into two categories: bullish and bearish. As long as you buy an option, whether it is bullish or bearish, you only have the right but no obligation, that is, you can buy it at the agreed price or sell it at the agreed price when it expires, but this is the buyer's free choice, but the seller of the option, whether it is bullish or bearish, must unconditionally fulfill the terms. Therefore, the risk of the option buyer is limited (the biggest loss is royalties), but the theoretical profit is infinite; At the same time, the option seller (whether call option or put option) has only obligations but no rights. Theoretically, the risk is infinite and the income is limited (the biggest income is commission). Generally speaking, individual stock options are not suitable for all individual investors, and are more suitable for institutions to hedge risks or arbitrage. The terms of individual stock option contract include the following main contents: the name (code) of contract object, option type, contract unit, expiration month, exercise price, exercise price range, last trading day, exercise date, exercise delivery method and delivery date, etc. The contract type is call option or put option. (1) CallOption The buyer of a call option has the right to buy a specified number of underlying securities (stocks or ETFs) from the option seller at the agreed price (exercise price) within the specified period (such as expiration date) according to the contents of the contract. When the seller of a call option is exercised, he must sell a certain number of underlying securities at the exercise price. (2) PutOption A put option buyer has the right to sell a specified number of underlying securities (stocks or ETFs) to the option seller at an agreed price (exercise price) within a specified period (such as expiration date) according to the contents of the contract. When the seller of the put option is exercised, he is obliged to buy a certain number of underlying securities at the exercise price. 3. The trading hours of individual stock options are 9:15-1:30 in the morning and 13: 00- 15: 00 in the afternoon. Among them, 9: 00 a.m.15-9: 25 a.m. is the time to start shooting in call auction, and the last three minutes will end randomly. 9: 30- 1 1: 30, 13:00- 15:00 is the continuous bidding time. On the last trading day of the option, that is, the exercise date, the trading time remains unchanged. The exercise time is 9: 00 a.m.15-1:30 a.m. (where call auction ends at -9:30 randomly and does not accept the exercise instruction) and 13: 00- 15: 30 p.m. The above is the whole content of this article. I hope it will help you and answer your questions. They are online 24 hours a day and can answer your legal questions at any time.
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Measures for the administration of filing of securities over-the-counter trading business Article 3 Securities companies, securities investment fund companies, futures companies, securities investment consulting institutions and private fund managers engaged in securities over-the-counter trading business as stipulated in Article 2 of these Measures, as well as institutions required by securities regulatory agencies or self-regulatory organizations to file with the Association (hereinafter referred to as filing institutions) shall file their securities over-the-counter trading business in accordance with these Measures. Where a wholly-owned subsidiary newly established by the filing institution engages in the OTC securities trading business as stipulated in Article 2 of these Measures, it shall submit relevant information as a change, and the responsible subject of the information shall be transferred accordingly. Article 5 of the Measures for the Administration of the Filing of OTC Securities Business shall meet the following requirements: (1) The corporate governance system is sound, the decision-making authorization system is clear, and the relevant internal management system is complete; (2) Having the capital strength, professionals and technical systems suitable for the relevant OTC securities business. (3) It has a risk control mechanism, which can effectively prevent behaviors such as interest transfer, unfair trade and market manipulation; (4) Having perfect investor education and measures to protect investors' rights and interests; (5) Other requirements of the Association.