Options - An introduction

Level: Beginner / Length: 20 minutes / Pages: 17

This course is all about Stock Options – which are a by-product (or a derivative) of Stocks. You’ll explore how they work, the key terminology involved and how Options can be used to buy and sell.

Through simple video examples you’ll learn about how money is made on a ‘buy’ and a ‘sell’ and also how money can be lost…

Options trading is full of new terms and phrases such as ‘Puts’, ‘Calls’, ‘Expiration’…you’ll learn all about these and more.

Options are often misunderstood but they’re really one of the simplest financial instruments to understand. Best of all, they give you a choice of what to do with your money - on a specific future date. In essence, they’re a sophisticated way of hedging your bets and guarding against the unexpected.

In this course you’ll learn about:

  • How you can use Options in your trading
  • Where and how Options trade
  • How money can be made…and lost
  • How Options differ to Stock trading

Non-Independent Investment Research
Any information which could be construed as investment research has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Further it is not subject to any prohibition on dealing ahead of the dissemination of investment research. The Saxo Bank Group may perform services for, solicit business from, hold long or short positions in, or otherwise be interested in the investments (including derivatives), of any issuer mentioned herein.