Shares

July 12, 2011

when i buy an option contract that controls 100 shares of stock?

Tracy Rollins asked:


im want to trade the S&P 500 option with etrade. $9.99 commission plus 75 cents a contract.
if i bought CBOE S&P 500 INDEX S&P 500 JUN-11 $1360.00 CALL at $16.90 at 243pm est..how far would $300 take me

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October 15, 2008

Are there any risks whatsoever to a buyer of a long call or put option?

trading puts calls
skahhh asked:


I have been led to believe that the writer is the only one who would ever have to surrender shares of a stock in options trading, that the buyer only loses his investment of premium in the call or put at the most. Is this true?

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