Trading

[mathewhyden]

As a beginner in trading, I'd like to know a little more about options. Can you help me out here, please?

[dzug]

Yes.

Option 1 Give me all your money and I will look after it for you.

Option 2 Don't give it me and I will have the boys come round to fix you.

[sara3]

↑ how masterful.. swoon, swoon ;o)

[bradleypeter]

Options are important when you need to keep the value of the existing fixed-income portfolio. Options are also considered as insurance during bad price movements with a versatile feature of being beneficial during favorable price movements. Also, one should remember that exercising the option is not decided by the buyer. The person or purchaser of the option loses only the initial investment of premiums plus commissions and fees that does not apply to a futures contract buyer. Lastly, margin calls do not pertain to an option buyer. The purchaser has the advantage to keep up to the market position without having to be subject to extra funds in spite of market conditions. Check out: http://www.ismarkets.com for further details.