OEX, which trades on the Chicago Board Options Exchange (CBOE), is the ticker symbol used to identify Standard & Poor's 100 index options. OEX options were first introduced in 1983 and quickly became one of the most popular forms of stock market trading. They provide investors with an easy way to gain exposure to a broad range of stocks without having to buy each individual security separately.The OEX offers a variety of advantages for traders, including lower transaction costs and less risk than buying single stocks directly from exchanges or brokers. The underlying basket includes large-cap companies from various sectors such as technology, healthcare, financials and consumer staples that are chosen based on their size rather than performance metrics like earnings growth or return on equity ratios. As such they offer diversification benefits not available when investing in single securities alone while still offering exposure to some high performing names within those industries too..In addition, since these contracts trade through CBOE instead of traditional exchanges there are no commissions associated with executing orders thus making them attractive for smaller investors who may not have access or resources necessary for direct stock purchases at competitive rates elsewhere . Furthermore , due their popularity over time many derivatives products have been created off this index giving it even more liquidity , availability and flexibility compared other indexes out there . This makes them ideal option vehicles regardless if you’re looking long term investments strategies or short term speculation opportunities.
