What are the basics?

Jul 9 18:23

Like stocks, options are financial securities that can be bought and sold. There are two types of options: calls and puts.

Buy a put means you need to pay an amount (the premium) for a contract that gives you the right, not the obligation, to sell an asset (the underlying asset) at an agreed price (the strike price) on or before a specified date (the expiration date).

For example, you may purchase a $1,000 TUTU 202X-XX-XX put at $100 premium. In this case, you have the right to sell 100 shares of TUTU at $1,000 per share on or before 202X-XX-XX.

This presentation is for informational and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Investment information provided in this content is general in nature, strictly for illustrative purposes, and may not be appropriate for all investors. Read more

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