How To Buy - Stock Options Basics

: The pre-agreed price at which you can buy or sell the stock.

: One standard options contract typically controls 100 shares of the underlying stock. how to buy stock options basics

: The "due date" for the contract. After this date, the option becomes void and worthless. : The pre-agreed price at which you can

A Beginner's Guide to Buying Stock Options Stock options are financial contracts that give you the , but not the obligation , to buy or sell a stock at a set price before a certain date. While they offer powerful benefits like leverage and risk management, they are more complex than simply buying shares. Core Concepts You Must Know but not the obligation