Saturday, January 2, 2010

The Options Market For You?

Options offer an investor the right but not the obligation to buy or sell a security at a set price.

Options are used for investments becoming more impervious to swings in the markets, Also, to protect shares from under-performing. And to make money when market conditions are extreme.

To invest in options, you must take time to learn fully about them. Know the difference between a call and a put, strike price and all the rest of applicable terms.

There is no quick options course, Take your time because of the complex nature of this arcane aspect of the securities business.

Do not attempt to get involved unless you learn about options both academically and in practice. Therefore, run through some fantasy dry-runs with no real funds, just to see how you would have done with real money.

Then use your own real capital.

No comments:

Post a Comment