Journal of Finance Vol. 52 No. 4 1997
The Market for Equity Options in the 1870s.
Abstract
The introduction of exchange-traded options in 1973 led to explosive growth in the stock options market, but put and call options on equity securities have existed for more than a century. Prior to the listing of option contracts, trading was conducted in an order-driven over-the-counter market. From 1873 to 1875, quotes for options contracts were published weekly in The Commercial and Financial Chronicle during a period that saw extensive marketing efforts by a number of brokerage firms. In this article, the authors examine these quotes to determine why this seemingly sophisticated market existed for only a brief period in financial history.
- Volume
- 52
- Issue
- 4
- Pages
- 1707-23
- Sources
- bibtex:phds-export.bib