Finding 5645Emerging EvidenceValidation V0
This paper uniquely examines index option market structure and trading frictions, using extensive SPX and SPXW data (2011-2022) to challenge frictionless derivative models. Its empirical depth and focus on oligopolistic market makers profits reveal overlooked realities, offering novel insights valuable for both academic research and practitioners in option pricing and market microstructure.
78%Confidence
1Evidence objects
v1Version
DraftStatus
Evidence trail
Supporting78% linkage confidence
This paper uniquely examines index option market structure and trading frictions, using extensive SPX and SPXW data (2011-2022) to challenge frictionless derivative models. Its empirical depth and focus on oligopolistic market makers profits reveal overlooked realities, offering novel insights valuable for both academic research and practitioners in option pricing and market microstructure.
key_findings bullet 4 · key_findings
Inspect source: Market Structure, Trading Frictions, and the Profitability of Market Making in Index Options →This Finding was extracted from the configured corpus. It is versioned, traceable, and may evolve through editorial review or new corpus evidence.