A recent article from an ASX newsletter, might be of interest to some, also has some tax info on share buybacks and capital returns: http://www.asx.com.au/investor/optio...randomness.htm
Fooled by Randomness
Fooled by Randomness author Nassim Nicholas Taleb a market trader and professional skeptic has seen innumerable traders go to the wall - "blow up", in the picturesque jargon of the trade. "No-one could have predicted that", they say, sadly shaking their heads as they leave the trading floor. They have been fooled by randomness.
Whether you believe “out of left field events” are truly random or not, is a moot point. The fact that they occur and with devastating consequences for traders is cause for concern. This article looks at events that fall into the random category in the options market.
After reading this article you should understand:
* The effect of after expiry news events
* Buy backs and their effect on options exercise
* Implications for options where a stock is suspended.....