Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...
If you’re diving into options trading, you’ll likely come across two common terms: sell to open and sell to close. While they may sound similar, these two strategies serve very different purposes — ...
Call options are a type of option that increases in value when a stock rises. They’re the best-known kind of option, and they allow the owner to lock in a price to buy a specific stock by a specific ...
Options assignment is a process in options trading that involves fulfilling the obligations of an options contract. It occurs when the buyer of an options contract exercises their right to buy or sell ...
Options are versatile financial instruments that offer traders and investors a unique way to engage with the markets. Whether you're looking to amplify gains, hedge against potential losses, or ...
Selling (writing) options can be a great way to augment income, especially when market averages are close to their highs. Writing covered options is a much more conservative strategy than buying long ...
Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Michael is a former senior editor of investing and trading products for ...
Options trading can be complex, and the trading jargon may confuse even experienced investors and traders. Two of the most common options contracts to understand are call and put options. Here’s what ...
While index funds provide broad market exposure to credit and interest rate risk, they do not take advantage of a persistent market inefficiency called the Volatility Risk Premium, which occurs due to ...