Discussing the Options Markets – Part 1

Discussing the Options Markets – Part 1

Options are a poorly understood and complex investment tool. There are two types of options – a put and a call. A call option is an option to buy something at a specified price. The price is called the exercise or strike price. A put option is the right to sell something at the specified exercise price. They go back in history thousands of years. They have been used to buy land, for example, at a future date. Someone would pay for the option to buy at a future date.

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