Option buyers get rights by paying royalties, and option sellers get royalties. When exercising, the buyer has the obligation to buy or sell the target at the exercise price, but when selling the option, it needs to occupy a certain margin as the performance bond.

The calculation formula of first-hand option contract is: payment/collection of royalties = latest price * contract multiplier.

Take buying primary IO1912-C-3950 (201912 call option with exercise price of 3950) as an example:

C The latest price is 132, and the contract multiplier of Shanghai and Shenzhen 300 stock index options is RMB 100 per point.

The buyer needs to pay the first-hand royalty of IO/KOOC-0/9/KOOC-0/2-C-3950:/KOOC-0/32 */KOOC-0/00 =/KOOC-0/3200 yuan.

When selling the first hand of IO19 12-C-3950 (2019,12, a call option with an exercise price of 3950), the seller receives the royalty of132 */Kloc.