The first step in trading Nasdaq-100 exposure is identifying the actual option. Index options, ETF options and options on futures can have different sizes, underlyings and exercise rules.
Identify the available product
The example uses NDX with USD 100 per index point. These are contract-scale examples with hypothetical prices; availability of a quoted expiry must be checked with the broker.
NDX and XND provide cash-settled European-style exposure. Nasdaq lists different settlement series within its index-options offering; check whether the chosen contract uses an opening or closing settlement procedure. XND uses one hundredth of the full benchmark, rather than the one-tenth scale of some other mini index products. The old MNX example on this site has been replaced here by the issuer’s current NDX/XND comparison.
Broker access and trading costs
Confirm that the broker supports the exact product in your jurisdiction. Compare the bid–ask spread, commissions and any exchange or data fees. A heavily traded index does not guarantee a liquid option at every strike or expiration.
Check the settlement value
The final payment uses the official settlement calculation for the selected series. It may be based on opening prices or a closing calculation and can differ from the index level displayed on a general chart. Check the last trading time as well as the expiration date.
For ETF options, exercise may create a share position instead. The funds needed to take delivery can be much larger than the option premium. Uncovered writers have obligations beyond the premium they receive.
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References
Nasdaq NDX and XND product comparison · Nasdaq NDX/NDXP factsheet