The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone. This is Kirk here again at optionalpha.com and welcome back to the daily call. Today, we’re going to be talking about how active traders can now take a passive approach to investing and particularly with options trading, take a passive approach. Right now, the big buzz in the industry and has been like this for many years now is this passive indexing style of trading and investing. Basically, this idea that you continue to buy the indexes regardless of the value or how high they are and everyone buys the indexes because that's what everyone should do and everyone should buy the indexes, so everyone does, etcetera, etcetera. Well, I definitely subscribed to the idea that long-term active traders are more profitable with less volatility in their account than passive index trading. I think one of the biggest flaws to index trading right now is that everyone is blindly buying the indexes regardless of the value of the underlying stocks. Because everyone's buying indexes, more people buy in. It’s jus