Britain's IG launches 'world's first' same-day Tesla options

IG, which offers trading and investments mostly to retail clients, said on Thursday it has launched the world’s first daily Tesla options contract, beating rival US markets where single name same-day options are not yet available.

Elliot Harris, head of Options at IG, said: “These contracts are a powerful new tool for short-term traders looking to capitalise on Tesla’s intraday price swings, which in recent times have been pretty dramatic.”

IG said in a statement on Thursday it plans to roll-out daily options on other major US equities “in the near future”.

Harris added: “This is one of the fastest-growing areas in global trading, and we want to be at the forefront - driving innovation and giving our clients the tools they’re asking for. Daily Tesla options are just the beginning. We’re here to push boundaries and lead the way in delivering smarter, faster trading solutions.”

IG said the US single name options will be available via spread betting or contracts-for-difference on the IG website or app, trading on Monday-Thursday with no trading on Friday because the existing weekly option expires then.

The British group cited the growth of same-day options, also known as single day to expiry (0DTE) options, in the US where IG said these short-dated contracts now account for over half of daily options trading.

IG said adoption is also growing among UK clients who have increased their use of options by 27% over the past year while the number of options traders active on IG has increased by 9%.

CME Group chairman and chief executive Terry Duffy said on Wednesday the exchange giant is targeting retail clients in the US and further afield as a key growth opportunity.

US options giant Cboe Global Markets said 0DTE S&P 500 options accounted in May for 61% of the total SPX options market, breaking February’s record of 56%.