In the song “Options”, Loren Gray sang, “Baby, I got options, but I only want you”. The Merriam-Webster dictionary defines the word option as “the power or right to choose, a choice made or available, or the privilege of demanding fulfillment of a contract on any day within a specified time”. The Collins Dictionary offers a simplified definition; “an option is something that you can choose to do in preference to one or more alternatives”.
In the world of investments, FINRA, the US Financial Industry Regulatory Authority, explains an option as a financial instrument known as a derivative that conveys to the purchaser (the option holder) the right, but not the obligation, to buy or sell a set quantity or dollar value of a particular asset at a fixed price by a set date. The seller (or writer) of options accepts the obligation to buy or sell should the purchaser exercise their right. “Call Options” convey to the purchaser the right, but not the obligation, to buy shares; they convey to the seller the obligation to sell shares if the contract is assigned. “Put options” convey to the purchaser the right, but not the obligation, to sell shares whoever they convey to the seller the obligation to buy shares if the contract is assigned. Options offer leverage, meaning the ability to magnify the value or purchasing power of the premium you pay—but leverage can come with the risk of significant losses.
Please tune in on Tuesday, November 14, 2023 at 8pm ET when the FJMC Financial Insights Affinity Group will host a webinar on the topic, “Option Trading Strategies: Success, Excitement & Less“. Option trading can be a very conservative way to get a bit of extra income as you sell out a position of stock. It can also be a way to leverage a “hot tip” opportunity at a small risk compared to the potential reward – often at a 10x leverage to buying the stock with no margin risk. There are many other uses for options and attendees are invited to share their experiences as we learn from each other. To register for this free Webinar, please visit https://fjmc.org/financial-insights-fjmc-affinity-group.
FJMC webinars are a positive diversion in these very tough times; please join us.
FJMC’s Financial Insights Affinity Group is a timely, interactive, Zoom based discussion about investing and finance. Get ready to enjoy some great stories, increase your financial literacy and learn some investment strategies as we gather in the spirit of Brotherhood in FJMC’s virtual VIP hospitality suite. The FJMC Financial Insights Affinity Group is hosted by Co-Chairs Richard Grey and Gary Smith and is part of a growing list of FJMC Affinity Groups and is offered at no charge to all Jewish Men’s Clubs and Brotherhoods across the United States and around the world. For more information visit https://fjmc.org/financial-insights-fjmc-affinity-group or email insights@fjmc.org.
This invitation to join the FJMC Financial Insights Affinity Group is brought to you by the Florida Region of the Federation of Jewish Men’s Clubs (FJMC). We are part of a confederation of over 200 Jewish Men’s Clubs and Brotherhoods representing over 20,000 members across the United States, Canada, Latin America, and beyond. Learn more about how your Jewish Men’s Club or Brotherhood can affiliate with the FJMC at: https://www.fjmc.org/content/affiliating-fjmc.
The Florida Region of FJMC serves the needs of affiliated Men’s Clubs and Brotherhoods throughout the State of Florida. Get to know more about the FJMC Florida Region and our growing network of Jewish Men’s Clubs and Brotherhoods at www.floridaregionfjmc.org and please visit and LIKE our Florida Region FJMC Facebook Group at www.facebook.com/FloridaRegionFJMC.
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