News Release
March 26th, 2026
Retail Investors Increased Use of Defensive Options Strategies Ahead of Iran Conflict, Data Highlights
- put options quadrupled as UK individual investors moved to hedge portfolios amid rising geopolitical uncertainty -
London - Retail traders are increasingly behaving like so-called 'smart money', with trading patterns once linked with institutional investors now evident among retail clients, according to Investa.
Data from Investa, a retail options trading app, shows a shift in investor behaviour in early 2026, ahead of a period of heightened geopolitical tensions. As global and economic uncertainty intensified, retail traders moved quickly to seek to hedge against potential market falls, adopting strategies more commonly used by professional traders, although such strategies still carry risks and are not suitable for all investors.
From Investa's launch in September 2025 through to year-end, sentiment among retail investors was predominantly bullish. Activity was weighted towards call options1, which are typically used to benefit from rising prices, with around three times as many bought as put options2, which are typically used for hedging and are often interpreted as a bearish indicator. In January 2026, the company noted a drastic reversal with retail traders spending four times as much on puts as calls. This trend continued into February and has risen to 8.5 times as much in March, which may suggest that some individual investors are positioning for further market declines.
Additional findings:
- In February, options traders built positions, that could profit if gold were to reach $20,000 before the end of the year, which may indicate expectations of elevated market volatility or stress.
- The ratio of calls traded vs puts in gold hit highs that haven't been seen for at least 15 years (according to data from Bravos research3).
- Around the same period, large options positions were opened that would profit from falling interest rates, a move typically associated with an economic slowdown.
"We've seen a significant shift in retail investor behaviour. The speed and scale at which our clients' positions changed in early 2026 wasn't reactive; it was proactive, with hedging positions being built in January," said Alec Beasley, CEO of Investa. "These kinds of hedging strategies were once the preserve of institutional investors, but that's no longer the case. Retail investors today have more access to a wide spectrum tools, data and market news, and they are using them with increasing sophistication. The idea of 'smart money' may well be becoming extinct. Retail investors are no longer following; they are actively analysing market signals, pricing in risk, and positioning accordingly."
* Be mindful, options are high risk investments due to their complex nature and are not suitable for all investors.
- ENDS -
About Investa
Investa is a mobile based stocks and options trading app designed for investors that was founded by a former Citi Options Broker.
Investa is a trading name of Investa Markets Ltd, which is an appointed representative of Richdale Brokers & Financial Services Ltd, which is authorised and regulated by the Financial Conduct Authority (FRN: 1008437). In this capacity, it is permitted to perform the reception and transmission of orders. Investa does not provide investment advice. Individuals should seek advice from a suitably licensed and independent professional advisor.?
Visit the website for more information: https://www.investa.co.uk/
Download the app here.
For further press information, please contact: Francesca De Franco on 0794 125 3135 or email francesca.defranco@investa.co.uk
Disclaimer: Capital at risk. All investments carry a varying degree of risk and it's important you understand the nature of these. The value of your investments can go up or down and you may get back less than your original investment. Options are complex products and not suitable for all investors. Please review Characteristics and Risks of Standardized Options prior to engaging in options trading. Fees may apply.
1 A call option is a contract that gives the buyer the right, but not the obligation, to purchase a specific asset (such as a stock) at a predetermined price (the strike price) before a specific expiration date.
2 A put option is a contract that gives the buyer the right, but not the obligation, to sell a specific asset (such as a stock) at a predetermined price (the strike price) before a set expiration date.
3https://www.linkedin.com/pulse/gold-historic-bubble-bravos-research-pzykc/
