ArticleOpen Access http://dx.doi.org/10.26855/jhass.2023.12.019
Exploring Risk Management Issues of Financial Options in China
Kan Zhu1,*, Shuocheng Wu2
1Hangzhou JAN Finance Technology Co., Ltd., Hangzhou, Zhejiang, China.
2School of Mathematics and Statistics, University of New South Wales, NSW, Australia.
*Corresponding author:Kan Zhu
Published: January 11,2024
Abstract
Financial option is a risk management tool, which can effectively reduce the financial risk of enterprises and improve the competitiveness of enterprises through the design of reasonable risk management strategies. With the development of the options market, the scale of China's financial options market is expanding more and more investors begin to participate in options trading, but due to the lack of professional knowledge, many investors often fall into misunderstanding the actual operation, resulting in heavy losses, or even huge losses. Moreover, China's financial options market is still in its infancy, and there is a large gap between its development level and the international advanced level. Therefore, financial option risk management is a very important task that must be given sufficient attention. This paper will analyze the current situation of China's financial options risk management issues and put forward corresponding countermeasure suggestions to give investors some reference.
Keywords
Financial options, risk management, problem analysis, solution strategies
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How to cite this paper
Exploring Risk Management Issues of Financial Options in China
How to cite this paper: Kan Zhu, Shuocheng Wu. (2023) Exploring Risk Management Issues of Financial Options in China. Journal of Humanities, Arts and Social Science, 7(12), 2498-2502.
DOI: http://dx.doi.org/10.26855/jhass.2023.12.019