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You now know the difference between OTC options and exchange - traded options. Let us see some further distinctions in exchange traded options.

Options on Actuals (Spot Options)
Options on Futures

Exchange-traded options can be based on futures or they can be based directly on a commodity, stock or financial instrument. Such options are often called spot options or options on actuals.
A stock option, for instance is an option on actuals: if the option is exercised, the stock is delivered.
If a currency futures option is exercised, however, a currency futures position is delivered rather than the currency itself.

Finally, there are options on a variety of underlying instruments.
Options on Stocks
Options on Stock Indices
Precious Metals
Interest Rates

Most of these options are also tradable in the form of options on futures.
Metal Futures
Commodity Futures
Stock Index Futures
Currency Futures
Int. Rate Futures