EXCHANGE TRADED OPTIONS Part 1: An introduction to trading options TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041 PH: 03 8080 5788 WEB: www.traderscircle.com.au EMAIL: [email protected]
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Exchange Traded Options: An Introduction to Trading Options on the ASX
Exchange traded options are a leveraged financial product provided by the ASX. They are classified as a derivative, which means their value derives from a company share.
This guide is part one in our series to help traders and investors understand how to utilise options.
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
EXCHANGE TRADED OPTIONSPart 1: An introduction to trading options
TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041
An option is a contract in which the buyer has the right but not the obligation to buy or sell a stock at a stated price at any time during the life of the option.
TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041
You can view it as an insurance contract between a buyer and seller where the buyer has the right to take up on the contract if and when they choose...
TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041
The buyer of a put option has the right, but not the obligation to sell a stock at a stated price (strike price) at any time during the life of the option.
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TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041
The buyer of a call option has the right, but not the obligation to purchase a stock at a stated price (strike price) at any time during the life of the option.
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TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041
The right education is essential if you want to reach your trading goals. Register with us today to learn more about our trading education programs.
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Warnings and important information.Any advice contained in this communication is general only and does not consider your objectives, financial situation or needs, and you should consider whether it’s appropriate for you. If you are thinking about acquiring a financial product, you should consider our Financial Services Guide (FSG) at www.traderscircle.com.au and the relevant Product Disclosure Statement (if there is one available) first.
Trading options is not suitable for everyone. There is a risk that you can lose more than the value of a trade or its underlying assets. You should only act on our recommendations if you are confident that you fully understand what you are doing.
Past returns do not reflect future returns, and it is also possible to make significant losses. We employ expert traders and use strategies that maximise returns and minimise risk. However, there is always a risk of loss when trading and investing. This is general information, and is not prepared for your specific investment objectives, financial situation or needs. Consult a licensed investment adviser before making investment decisions. TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041.
TradersCircle Pty Ltd, ABN 65 120 660 497 is a corporate authorised representative of OzFinancial Pty Ltd, AFSL number 241041