Tweet
Other day I was discussing with my friend about stock option trading. He kind of mentioned that if I have, say 100 stocks, of company XYZ, I can come up with my own Premium price and sell the contract to others. That way if the stock does not hit the strike price before the expiration date, I can get the premium money paid by people who bought the contract. I still could not get completely. I would really appreciate if anyone who has very good knowledge of Option Trading could explain me what my friend is talking about.
The Saving Advice Forums - A classic personal finance community.
- If this is your first visit, be sure to check out the FAQ by clicking the link above. You may have to register before you can post: click the register link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below.
Comment