Tackle the sticker shock of a lofty stock market with an options play. Consider lowering your cost basis by selling puts.
Shhh. Consider quiet, low-volatility option buying strategies that could offer limited risk of loss for a miss, and the possibility of a payoff for a hit.
Traders often think of options in small denominations because that’s how the bid/ask quotes appear. But beginning investors in particular must remember to use a 100x multiplier to help determine correct position sizes.
Weekly options were introduced by the Chicago Board Options Exchange in 2005. Now they’re all the rage, especially as more traders use them to position for earnings releases.
Basic options strategies can help investors protect portfolios against inevitable market volatility and market crashes.
The covered call is one of the most widely-used portfolio diversification tools, but it’s important to understand how it works.
for thinkMoney ®
Financial Communications Society 2016
for Ticker Tape
Content Marketing Awards 2016
Content intended for educational/informational purposes only. Not investment advice, or a recommendation of any security, strategy, or account type.
Be sure to understand all risks involved with each strategy, including commission costs, before attempting to place any trade. Clients must consider all relevant risk factors, including their own personal financial situations, before trading.
Market volatility, volume, and system availability may delay account access and trade executions.
Past performance of a security or strategy does not guarantee future results or success.
Options are not suitable for all investors as the special risks inherent to options trading may expose investors to potentially rapid and substantial losses. Options trading subject to TD Ameritrade review and approval. Please read Characteristics and Risks of Standardized Options before investing in options.
Supporting documentation for any claims, comparisons, statistics, or other technical data will be supplied upon request.
This is not an offer or solicitation in any jurisdiction where we are not authorized to do business or where such offer or solicitation would be contrary to the local laws and regulations of that jurisdiction, including, but not limited to persons residing in Australia, Canada, Hong Kong, Japan, Saudi Arabia, Singapore, UK, and the countries of the European Union.
TD Ameritrade, Inc., member FINRA/SIPC. TD Ameritrade is a trademark jointly owned by TD Ameritrade IP Company, Inc. and The Toronto-Dominion Bank. © 2020 TD Ameritrade.