Comment on Option buying: The riskiest trade out there
That is unlikely to be the only motive. It is much harder to lose money in options closer to ATM than OTM. So say you have a 10K account and lose all your money in one trade vs 10 trades when they do not allow OTM, they make 10 times more brokerage. I do not think its all altrusitic. Nothing wrong with that. They are also running a business. Why not make money with altruism. No?