An index option is a contract that gives the holder the right to buy or sell the value of the underlying index at the specified strike price. Unlike Equity/ETF options, they are cash-settled and mostly European style (exercised only at expiration).

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What Index Options do We Offer?

⭐Options on Broad Market Indices

• $S&P 500 Index Options (SPX/SPXW)
• $Mini SPX Index based on the S&P 500 Index Options (XSP)
• $NASDAQ 100 Index Options (NDX/NDXP)
• $Dow Jones 1/100 Indu Index Options (DJX)

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⭐Option on Volatility Indices

• $CBOE Market Volatility Index Options (VIX/VIXW)
• $SPIKES Volatility Index Options (SPIKE)

Note: Volatility index options are highly speculative in nature and not appropriate for every investor to trade. Please educate yourself on them before trading.

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Available Strategies in Real Trading

Because each option strategy carries an inherent risk and return profile, every investor should fully understand the risks involved before trading index options.

• Level 1 option account investors can sell cash-secured puts to generate income in their portfolio.
• Level 2 supports options buying strategies – buying calls or buying puts.
• More multi-leg options strategies are available if you have a Level 3 margin account.

The chart below provides detailed info on strategies supported at each option level.

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Index Options in Paper Trading

You can simulate index options trading with Webull paper trading! Currently, the following three strategies are supported in index option paper trading:

• Buying Calls
• Buying Puts
• Selling Cash Secured Puts

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Disclaimer: All trading symbols displayed are for illustrative purposes only and are not intended to portray recommendations