OTC Options
Exotic options traded on the over-the-counter market, where participants can choose the characteristics of the options traded.
Investopedia Commentary
The flexibility of these options is attractive to many. With OTC options, both hedgers and speculators can benefit from avoiding the restrictions that normal standardized exchanges place on options. The flexibility allows participants to achieve their desired position more precisely and cost effectively.
Related Links
Options Basics Tutorial
Do Option Sellers Have a Trading Edge?
Options Basics Tutorial
Going Long On Calls
Trading Puts - Going Short
See also: CBOE, Exotic Option, Expiration Date, OCC, Option, Over-The-Counter, Vanilla Option