How Option Orders Originate

by David Jenyns on July 6, 2007

How Option Orders Originate
Before going into the further explanation and application of options, it might be interesting to explain how orders for options originate and are executed. An interested party perhaps in Detroit will ask his stockbroker to ascertain on what terms a Call option can be had on a certain stock for, let us say, 90 days. The stockbroker will find this out through his New York office, which in turn gets in touch with an option-dealer for the terms on which a Call option can be had on that particular issue.

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