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 A privilege sold by one party to another that offers the buyer the right, but not the obligation, to buy (call) or sell (put) a security at an agreed-upon price during a certain period of time or on a specific date.
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Options are extremely versatile securities that can be used in many different ways. Traders use options to speculate, which is a relatively risky practice, while hedgers use options to reduce the risk of holding an asset.
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Options Basics Tutorial - An introduction to the world of options, covering everything from primary concepts to how options work and why you might use them.
Trading A Stock Vs Stock Options - Part One - Interested in learning more about these derivatives? We go over some basic terminology and the source of profits.
Trading A Stock Vs Trading Stock Options - Part Two - Interested in learning more about these derivatives? We go over some of the factors affecting their price.
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