Best online options brokers for Australia?

[cutz]

Gotcha Sails,

I'm using SPI futures with XJO options at the moment but i don't think the two are cross margined.

I have a love/hate relationship with XJO options, normally they're good, today they were bad, (got a toasting on slippage).

I guess in times of low IVs slippage really becomes a matter of profit or loss, something i've finally come to the realization.

 

[Grinder]

Gotcha Sails,

I'm using SPI futures with XJO options at the moment but i don't think the two are cross margined.

I have a love/hate relationship with XJO options, normally they're good, today they were bad, (got a toasting on slippage).

I guess in times of low IVs slippage really becomes a matter of profit or loss, something i've finally come to the realization.

Had many simmilar experiences with XJO, even if the market was in your favour and your timming was spot on it still did'nt help. Not fun giving the other side a 5 goal head start before the ball has even been bounced, not much you can do about it though.

 

[sails]

Gotcha Sails,

I'm using SPI futures with XJO options at the moment but i don't think the two are cross margined.

I have a love/hate relationship with XJO options, normally they're good, today they were bad, (got a toasting on slippage).

I guess in times of low IVs slippage really becomes a matter of profit or loss, something i've finally come to the realization.

Cutz, to the best my knowledge, I agree that there is no cross margining between XJO options and SPI futures. SPI options periodically have some pretty good volumes, but other times there is so little activity. Definitely more consistent turnover in XJO options.

The other thing to take into account is the fact that XJO options are based on a $10 contract size and yet it's $25 contract size for the SPI. So one would need to adjust the quantities as necessary. On the ASX site, I see there are also XJO futures with $10 contract size, but I suspect liquidity is pathetic.

I believe that the XJO option MMs use the SPI to hedge - so I wonder why the ASX don't have just one set of futures and one set of index options with the same contract size. Hmmmm perhaps there is more money in it for them the way it is...

 

[cutz]

Yeah Sails,

It's really annoying having the 2 different sizes on the XJO options and SPI futures, inputting one SPI contract into Hoadleys i need to tell it it's 2.5 futures contracts so it's pretty cumbersome.

A matched set of highly liquid aussie futures and options contracts something like Estoxx over in Europe would be nice, the current system resembles a dogs breakfast.

I propose ditching all the silly non liquid derivatives kicking around and matching the XJO options to the SPI contracts.