The AMEX FRO (Fixed Return Options) Thread

atticus · May 12, 2008

Quote from IV_Trader:

no

You're banned from the store, Kramer.

IV_Trader · May 12, 2008

Quote from atticus:

You're banned from the store, Kramer.

lol , no more soup for me ?

IV_Trader · May 12, 2008

Well , to be complitly accurate , there is actually ONE non-parimutuel bet on racetrack ( where house may lose)
Anyone knows ?
Anyone ?

btw , it's not min garanteed on some exotic bet such as Pick 6

atticus · May 12, 2008

List of tickers with listed FROs:

http://www.optionsclearing.com/market/new_listings/new_listings.jsp

stock777 · May 13, 2008

Quote from IV_Trader:

Well , to be complitly accurate , there is actually ONE non-parimutuel bet on racetrack ( where house may lose)
Anyone knows ?
Anyone ?

btw , it's not min garanteed on some exotic bet such as Pick 6

non-parimutuel? Don't think there is one.

IV_Trader · May 13, 2008

Quote from stock777:

non-parimutuel? Don't think there is one.

You are right , its still parimutual with regular withhold of 17-20%
I will make it simple: under what conditions ( only one scenario) house still can lose ?
It is not a trick question; happens few times a month

surfingkid · May 13, 2008

I did some research and put together a summary of FROs for anyone who is interested.

http://www.tradeingroups.com/understanding-fixed-return-options-fros/

atticus · May 13, 2008

Does anyone know how to quote these on IB, Lime or Redi?

stock777 · May 13, 2008

Quote from IV_Trader:

You are right , its still parimutual with regular withhold of 17-20%
I will make it simple: under what conditions ( only one scenario) house still can lose ?
It is not a trick question; happens few times a month

Since you corrected the premise I can now tell you.

When they sell 3 hot dogs for the price of 2.

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Minus show pool

IV_Trader · May 13, 2008

Quote from stock777:

Since you corrected the premise I can now tell you.

When they sell 3 hot dogs for the price of 2.

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Minus show pool