By the 1900’s, options trading was no longer a new or inventive concept. Traders knew then that trading options can be lucrative and profitable. In fact, by the early 1900’s, options were already traded on the London Stock Exchange. In the United States Of America however, options were not traded on an exchange as most traded option contracts did not have a set of standardised terms. It was up to buyers and sellers to negotiate the terms of an option. Very often, trading of these options took place in a less formal fashion than today. Buyers and sellers often placed advertisements in newspapers, offering to buy or sell an option contract.
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