Jump to content

option value clarification

Recommended Posts

Can anyone explain the total value of an option contract in spread bets? What is the contract size?

Support page says:

FTSE, bet size £10, minimum bet £2. But what is the contract size, 100?

Does it mean that if I buy a call priced £95 with minimum bet of 2, does ultimate value equal 95*2*100?=£19000 ? Does not seem right.

I need to know the maximum possible loss on a purchased option. Info tab does not say contract size. In support, minimum bet on FTSE is £2, in ticket window £0.5. Does not much. 

Please provide clear guidance. 

Thank you

Link to comment

Hi @Ian_944  @ppp8

Spread Betting: 

Total premium paid = Bet size x option price


Total premium paid = No of contracts x value per contract x option price

FTSE contract size: 1 contract = 10GBP/ point

When buying options the maximum loss is always equal to the premium paid, hope this helps.  

All the best 



Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Create New...