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Thursday, June 30, 2005

Decimalization is Coming To Options Markets (from Blogging Wall Street)

Decimalization (quoting prices in increments of $0.01) recently hit stock markets. The decrease in spreads made trading in small mispricings more profitable. This made stock markets more efficient.

Now, decimalization is starting to spread to options markets. Click here for the whole story.

Since options are incresingly used in a variety of arbitrage andrick management strategies, this can only be good news for investors.

Tip-o-the-hat to BlogginWallStreet for the link.

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