A bibliometric study of emerging trends in the equity options segment

Abstract

Abstract Index options and stock options are part of equity options segment in particular and the equity derivatives segment in general. This study examines the evolution of index options and stock options as modern financial instruments along with open interest. 759 studies were reviewed from 1982 to 2022. The equity options market informational content is particularly helpful in forecasting future prices. As a result, it is a favourite of traders and short-term investors, but this subject needs more research. The study used a bibliometric and network analysis tool to identify the most cited studies, leading journals, and authors. The thematic structure of research on equity options and open interest has been inferred using the bibliometric analyses in this review paper. With the help of the Scopus database, the results have been summarized, covering the broad topics of volatility, options and option prices, stochastic models, financial markets and stock markets, hedging, Granger causality, price determination, model test, information asymmetry, equity and the VIX index. During this review study, researchers found that day traders and short-term investors can use the information in open interest, index options, and stock options to predict future prices. JEL Classification G1 · G3 · G12 · G14