The document discusses the risks associated with trading index options, particularly in cases where the reported index level is erroneous. It explains that traders are bound by trades made on erroneous index levels and may not have remedies under certain market rules. The document also outlines the potential financial consequences for holders of cash-settled index options if the index level changes after an exercise decision is made.
documents/vol00010-efta01353462-pdf.pdf
{"document_type":"other","key_organizations":["OCC"],"reference_numbers":["EFTA01353462"]}