A Comprehensive Overview of Stock Options



Investing in the stock market can be an exciting and potentially profitable venture.​ However, it can also be complex and overwhelming, especially for new investors.​ One investment strategy that often perplexes newcomers is stock options.​ In this article, we will provide a comprehensive overview of stock options, explaining what they are, how they work, and the potential benefits and risks associated with them.​

What are Stock Options?​

Stock options are financial contracts that give the holder (buyer) the right, but not the obligation, to buy or sell shares of a specific stock at a predetermined price (strike price) within a certain period of time.​ They are often used as a form of compensation for employees in publicly traded companies, but they are also available for individual investors to trade in the open market.​

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