Principal Businesses
- Investment Banking
- Asset Management
- Futures Business
- Cross-border Financial
- Fund Management
- Fixed Income Business
- Margin trading and short-selddng
- Stock Pledge
- Research Services
- Over-the-counter Market Services
- Agency Sale
- PB Services
- QFII
- Stock Options
- Equity Innovation Services
- Asset Securitization Services
- Brokerage Services
Stock Options
A stock option contract is a standardized contract formulated solely by the exchange that stipulates that the buyer has the right, within a predetermined period of time in the future, to buy or sell a predetermined number of shares or exchange traded fund (ETF) units that track an underlying stock index. An option is a contract reached between both parties of a transaction concerning the right to a future purchase or sale. As regards a stock option, the buyer of the option (right holder) obtains a right from the seller (obligor) by paying a fixed price (premium) to the seller that grants the buyer the right to buy from or sell to the seller a predetermined number of shares or ETF units at a predetermined price within a predetermined period of time. The buyer (rights holder) may also choose to forgo the right to exercise. Should the buyer decide to exercise the right, the seller is obligated to cooperate.