Zero-Day Options Boom Will Only Grow Even As Some Investors Fear Disaster
It’s too easy to lose money with the tools, majority of survey respondents said.
Traders on the floor of the New York Stock Exchange (NYSE) .
Photographer: Scott Eells/Bloomberg
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Two years after Wall Street’s love affair with fast-twitch stock options began, Bloomberg’s latest Markets Live Pulse survey suggests the unprecedented boom still has room to run — even as almost half of respondents fear an eventual blowup.
With the notional value of zero-days-to-expiration contracts tied to the S&P 500 hitting roughly $862 billion in April, almost 90% of 300 MLIV Pulse respondents said they expect the growth to continue. The twist? They're about evenly split on whether it will grow steadily or end in calamity.