Review: Good Review of Exotic (Flexible) Options
Rating: 4 out of 5
Date: 04 10, 2014
So, firstly, it should be clear if you want to buy this book, that it isn't a book for options beginners.Exotic options are more flexible than standard options which also means they can be more expensive, given exotic options are customized to an investor's needs.For this reason, reading up on the different exotic options was important to me so I could get an idea of whether I wanted to proceed with these types of options.The book sets out in detail each type of exotic option and includes examples so that the reader can follow along:  LOOKBACK OPTIONS (where you can trade with the benefit of hindsight and exercise the option at the most advantageous price), including Fixed Strike Lookback Options, Floating Strike Lookback Options; BARRIER OPTIONS, describing knock-in and knock-out and the four types of barrier options:  up and in, up and out, down and in and down and out; ASIAN OPTIONS; OUTPERFORMANCE OPTIONS and CLIQUET OPTIONS.I think the book was really helpful in explaining the different types of options but didn't give it 5 stars (as I have with some of Michael Young's others books), mainly because I didn't feel it really helped me in how to play these options.  But it is definitely a good starting resource.BONUS:  Free Trading Toolkit included with purchase.  This can be downloaded. I've downloaded with other of his books and it's a super  helpful addition to the actual eBook. Recommended for those who want a primer on exotic options, but only with experience in standard options...