Different issuers, different premiums, gigantic differences

M

mutluit

Hi,
what do such big differences in premium for practically the same options mean:

1.) finance.yahoo.com says:
http://finance.yahoo.com/q?s=MSFT121222P00030000
MSFT Dec 2012 30.000 put (MSFT121222P00030000) -OPR
Last: 1.50 0.15(11.11%) 1:50PM EDT
Prev Close: 1.35
Open: 1.30
Bid: 1.52
Ask: 1.54
Strike: 30.00
Expire Date: 21-Dec-12
(prices in USD)

2.) At a German broker:
https://boerse.dab-bank.de/maerkte-kurse/hebelprodukte/hebelprodukte-suche/id_55608325.html
UBS AG (LONDON BRANCH) PUT 17.12.12 MICROSO. 30
Stammdaten zu UBS/PUT/MICROSOFT CORP. REGISTERED SHARES DL-,00000625/30/0.1/17.12.12
WKN: UU8GWC | ISIN: CH0143730502 | Kategorie: Optionsscheine | Produktgruppe: OPTIONSSCHEIN | Emittent: UBS AG, London Branch | Basiswert: MICROSOFT CORP. REGISTERED SHARES...
Produkttyp: PUT
Ausübungsart: Amerikanisch
Basispreis: 30,00 USD
Dieser Optionsschein wird fällig am 27.12.2012 (in 70 Tagen).
The emittent UBS AG (ie. like an ECN) has these prices:
Bid: EUR 0,12
Ask: EUR 0,13
Last: EUR 0.125
(prices in EUR)

Why is there such a gigantic difference in the premiums of these Microsoft (MSFT) put options for Dec 2012 ?
And, isn't that a big arbitrage opportunity?... :-)
 
Quote from byron821:
Could it be that one is a European option and the other an American option?
More...

No, both are American type options.
The big price difference is mysterious IMHO.
 
Quote from mutluit:

No, both are American type options.
The big price difference is mysterious IMHO.
More...

Not speaking German but they look like two different options with different expiry dates. (17/12 the german vs 21/12 the american)

There's still big price difference but this might be simply different multipliers eg 100x vs 10x plus the currency difference
 
Quote from kapw7:
Not speaking German but they look like two different options with different expiry dates. (17/12 the german vs 21/12 the american)

There's still big price difference but this might be simply different multipliers eg 100x vs 10x plus the currency difference
More...
You could be right as there is a column saying "Bezugsverhältnis: 1:10"
ie. one has to multiply the price by 10 and then it becomes comparable to the other.
 
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