Trekking Through Exchange-Traded Fund Options and Index Plays

Exchange-traded funds, or ETFs, and unit trusts tracking major market indices have become popular investments for individual investors who'd rather buy a basket of stocks than try to pick individual winners in today's tricky market.

Because most of these ETFs and unit trusts have options attached to them, investors have even more alternatives. That's why this week's Options Forum, on behalf of some readers needing a little direction, tackles the differences between indexoptions and options on tracking stocks and exchange-traded funds.

In your Nov. 16 article, you referenced a money manager who is hedging by buying puts on the QQQ (Nasdaq 100 unit trust (QQQ Quote)). This got me curious. ...