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Options Foundations — What Are Options?
Options are contracts that give the buyer the right — but not the obligation — to buy or sell an asset at a specific price before a specific date. Unlike stocks, options offer built-in leverage, defined risk strategies, and the ability to profit in flat or falling markets. This module introduces calls and puts, explains the key differences from stock ownership, and shows why options have become one of the most versatile tools in a trader's arsenal.
⏱ 15 minModule D1.1
// What you'll learn
- Options are contracts that give the buyer the right — but not the obligation — to buy or sell an asset at a specific price before a specific date.
- Unlike stocks, options offer built-in leverage, defined risk strategies, and the ability to profit in flat or falling markets.
- This module introduces calls and puts, explains the key differences from stock ownership, and shows why options have become one of the most versatile tools in a trader's arsenal.
// Full access
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