How can I trade options on foreign stocks?

Question:

I want to trade options on a stock that is listed on the London stock exchange. Ameritrade and E-Trade don't offer such a service. Do I have to open an account with a brokerage based in a foreign country or what? If so, can you recommend such a brokerage? Thanks.

Answer:
You are not completely out of luck, though for the life of me I do not know why you would want to do this other than maybe a play on the drop in the value of the dollar.

Here are some of your options.

Buy options on foreign etfs. Here are some examples

EWJ the Japan index fund has options
EEM emerging markets index fund has options
EWZ Brazil market index fund has options
IEV Europe market index fund has options
ILF Latin America market index fund has options but they are not traded much.

The rest of the index funds do not have enough liquidity.

There is also the option of trading options on foreign stocks traded in the U S markets.

For example CHL has options.
SAY has options
and many others.

Try Barclays, they have brokerage guys.

You're better off not knowing...unless you are compelled to lose all
your money. It would be less painless if you just donated all your
money to charity.

You can open an account with Interactive Brokers in the U.S.:

http://www.interactivebrokers.com/...

Trading Options
By: Alexander Chong

How can I trade options on foreign stocks?

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