GS Goldman Sachs (GS) options offer exposure to investment banking and trading with higher volatility than traditional banks and sensitivity to capital markets conditions.

GS options reflect Wall Street sentiment — strong in bull markets with active M&A/IPO pipelines, vulnerable during market stress. Higher beta than JPM or BAC.

GS Options Characteristics

Avg Daily Volume

150K+ contracts

Typical Spread

$0.05-0.15

Typical IV Rank

20-40%

Expirations

Weekly, Monthly, Quarterly, LEAPS

Price Range

$400-550

Correlation

High correlation with XLF and capital markets activity

Best Strategies for GS

Iron Condors

Collect elevated premium between earnings

Bull Call Spreads

Directional play on M&A cycle recovery

Cash-Secured Puts

Accumulate at discount during selloffs

Straddles (earnings)

Capture volatile earnings reactions

Covered Calls

Generate income on existing position

Wall Street Bellwether

Goldman's trading revenue creates earnings unpredictability. The stock moves 4-8% on results. GS options premium tends to be elevated relative to other banks due to this uncertainty.

GS Options FAQ

Why are Goldman Sachs options more expensive than other banks?

GS has higher beta due to its trading and investment banking revenue dependence. Quarterly results are less predictable than traditional banks, leading to higher IV and richer option premiums.

What drives Goldman Sachs stock moves?

Key drivers: trading revenue surprises, M&A/IPO pipeline activity, regulatory changes, interest rates, and overall market sentiment. Capital markets activity is the primary catalyst.