History of Options

Options were invented to manage price risk in future

First known use in Greece 300 BC by an olive Speculator

Future Markets developed in US – 19th Century

Call options opened for trading on CBOE in 1973

Option pricings is based on the Black-Scholes mathematical model

• Model was discovered in 1973 by the economists Fischer Black and Myron Scholes.
• Both Black and Scholes received the Nobel Prize in economics for their discovery.

Put Options started trading in 1977

Today Options are traded on stocks, ETF’s, Gold, Futures etc.