Table Of Content

SINGLE STOCK FUTURES A TRADER’S GUIDE Patrick L. Young and Charles Sidey Single Stock Futures WILEY TRADING SERIES Single Stock Futures: A Trader’s Guide Patrick L. Young and Charles Sidey Uncertainty and Expectation: Strategies for the Trading of Risk Gerald Ashley Bear Market Investing Strategies Harry D. Schultz The Psychology of Finance, revised edition Lars Tvede The Elliott Wave Principle: Key to Market Behavior Robert R. Prechter International Commodity Trading Ephraim Clark, Jean-Baptiste Lesourd and Rene´ Thie´blemont Dynamic Technical Analysis Philippe Cahen Encyclopedia of Chart Patterns Thomas N. Bulkowski Integrated Technical Analysis Ian Copsey FinancialMarketsTickbyTick:InsightsinFinancialMarketsMicrostructure Pierre Lequeux Technical Market Indicators: Analysis and Performance Richard J. Bauer and Julie R. Dahlquist Trading to Win: The Psychology of Mastering the Markets Ari Kiev Pricing Convertible Bonds Kevin Connolly At the Crest of the Tidal Wave: A Forecast for the Great Bear Market Robert R. Prechter SINGLE STOCK FUTURES A TRADER’S GUIDE Patrick L. Young and Charles Sidey Published2003 JohnWiley&SonsLtd,TheAtrium,SouthernGate,Chichester, WestSussexPO198SQ,England Telephone (þ44)1243779777 Copyright#2003 PatrickL.YoungandCharlesSidey Email(forordersandcustomerserviceenquiries):[email protected] VisitourHomePageonwww.wileyeurope.comorwww.wiley.com AllRightsReserved.Nopartofthispublicationmaybereproduced,storedinaretrieval system,ortransmittedinanyformorbyanymeans,electronic,mechanical,photocopying, recording,scanningorotherwise,exceptunderthetermsoftheCopyright,Designsand PatentsAct1988orunderthetermsofalicenceissuedbytheCopyrightLicensingAgency Ltd,90TottenhamCourtRoad,LondonW1T4LP,UK,withoutthepermissioninwritingof thePublisher.RequeststothePublishershouldbeaddressedtothePermissionsDepartment, JohnWiley&SonsLtd,TheAtrium,SouthernGate,Chichester,WestSussexPO198SQ, England,[email protected],orfaxedto(þ44)1243770620. Thispublicationisdesignedtoprovideaccurateandauthoritativeinformationinregardto thesubjectmattercovered.ItissoldontheunderstandingthatthePublisherisnotengagedin renderingprofessionalservices.Ifprofessionaladviceorotherexpertassistanceisrequired, theservicesofacompetentprofessionalshouldbesought. OtherWileyEditorialOffices JohnWiley&Sons,Inc.,111RiverStreet,Hoboken,NJ07030,USA Jossey-Bass,989MarketStreet,SanFrancisco,CA94103-1741,USA Wiley-VCHVerlagGmbH,Boschstr.12,D-69469Weinheim,Germany JohnWiley&SonsAustraliaLtd,33ParkRoad,Milton,Queensland4064,Australia JohnWiley&Sons(Asia)PteLtd,2ClementiLoop#02-01,JinXingDistripark,Singapore129809 JohnWiley&SonsCanadaLtd,22WorcesterRoad,Etobicoke,Ontario,CanadaM9W1L1 Wileyalsopublishesitsbooksinavarietyofelectronicformats.Somecontentthatappearsinprint maynotbeavailableinelectronicbooks. LibraryofCongressCataloging-in-PublicationData Young,PatrickL. Singlestockfutures:atradersguide/PatrickYoungandCharlesSidey. p.cm.—(Wileytradingseries) Includesbibliographicalreferencesandindex. ISBN0-470-85315-8(alk.paper) 1. Singlestockfutures. 2. Futures. I. Sidey,Charles. II. Title. III. Series. HG6041.Y682003 332.630228—dc21 2003045068 BritishLibraryCataloguinginPublicationData AcataloguerecordforthisbookisavailablefromtheBritishLibrary ISBN0-470-85315-8 ProjectmanagementbyOriginator,GtYarmouth,Norfolk(typesetin10/12ptTimes) PrintedandboundinGreatBritainbyAntonyRowe,Chippenham,Wiltshire Thisbookisprintedonacid-freepaperresponsiblymanufacturedfromsustainableforestry inwhichatleasttwotreesareplantedforeachoneusedforpaperproduction. Contents Foreword ix Acknowledgements xi Introduction: Another New Product, Another Revolution xiii Prologue: The Next Frontier xvii 1 A Simple Q&A 1 2 Basics of Single Stock Futures 9 3 Trading Single Stock Futures 39 4 Corporate Actions 59 5 Users of Single Stock Futures 81 6 Margin, Clearing, and Settlement 95 7 Single Stock Futures and Indices 113 Conclusion 125 Exchanges 131 Web acknowledgements 133 Bibliography 135 Index 137 To Iain Cain for being a great friend, the finest host on the Coˆte d’Azur and simply the best impromptu singer with which any late night soireé can be blessed! To Gaby for providing unstinting support and encouragement at all time, which I hope I can return in the future.