Option

: The right to sell an asset. You buy a put if you expect the price to go down. 🔑 Essential Vocabulary

: The right to buy an asset. You buy a call if you expect the price to go up.

: The fixed price at which the contract allows you to buy or sell the asset. option

AI responses may include mistakes. For financial advice, consult a professional. Learn more Option Trading - Help - Tiger Brokers

💡 To learn more about advanced strategies like spreads and iron condors, check out the comprehensive Options Educational Center on Charles Schwab or review basic contract definitions on the Put Options Wikipedia Page . : The right to sell an asset

: The deadline by which you must exercise your right, or the contract becomes worthless. ⚠️ The Golden Rule of Risk

: The cash fee you pay to purchase the option contract. You buy a call if you expect the price to go up

Options provide massive leverage, but they are highly volatile. Industry studies frequently show that a vast majority of retail options traders lose money due to a lack of knowledge and poor risk management. Never invest money you cannot afford to lose!