Money Forum World

Issac Lindsay · Joined: 08 Nov 2007 Posts: 2082

Why are there alternatives for stocks that we can not trade?
I noticed that for some stocks, there are alternatives listed in that we can not trade. for example, for CVS May 07 expiry, the alternatives that we can trade are those starting with CVS. But if you look under Finance for CVS choice chain, you'll find some starting with CLZ. But we can not trade the latter, and clearly, these guys have a different valuation and strikes.

What are these untouchable alternatives anyway?

Elliot Pena · Joined: 08 Nov 2007 Posts: 2103

Some stocks have extra alternatives that were granted via other resources and on occasion are for odd lots, etc.

Occasionally, theyll be listed in some choice chains. but, its best to avoid those choice contracts as the liquidity can be less and it can be for different contract sizes than youre used to.

Further, Ive found that in the . choice chains, theres on occasion inconsistencies in whats listed. Over the past month or whole months of choice chains readily available elsewhere have been noticably missing from the . display.

Back to your example, I took a look at the alternatives which you talk about for CVS and if you exclude adjusted/non standard choice chains, the CLZ series does indeed disappear from my brokerage displays. When I examined them more, if you look at the contract size, youll see that theres an asterisk, referring you to the alternatives clearing corp for more information.

Heres the link.

oic.theocc.com/classes/contract_a.

Hope that assists.

Edit: It took a little while, but with all my brokerage accounts, I have all my choice chains default to showing just standard alternatives. Theres typically a profile page you may be able to use to identify the default symbol, timeframe, which alternatives to show, etc. attempt that 1st and if you dont find it, just contact your broker. And if they cant assist you fix it, change brokers.,

Wilfredo h. · Joined: 08 Nov 2007 Posts: 2149

As Yada Yada Yada indicated, the CLZ series consists of adjusted alternatives. The details of this choice are given at

search.cboe.com/cgi bin/MsmGo.exe.

If you may be able to trade the CVS alternatives you may want to also be able to trade the CLZ alternatives. My guess is that your brokerage doesn't let online trades of adjusted alternatives to keep you from accidently trading an adjusted choice. but, you may want to still be able to trade it by contacting your brokerage and having them begin the trade.