Option pricing is calculated using the Black-Scholes model, which takes four influential factors into account: the price of an underlying stock (assuming constant drift and volatility), an option’s ...

Discover how the volatility surface models implied volatility in options, highlighting market discrepancies. Understand its ...

As new traders flood the market, a return to the fundamentals may help beginners understand the fundamentals of options trading. To better assist them, we are exploring how weekly and monthly options ...

Understanding the break-even point helps you know exactly how much a stock must move for your option to start to make a ...

Options give more flexibility. For Zimbabwean investors interested in US stocks like PLTR, options can: Limit risk: For ...

Call options are a type of option that increases in value when a stock rises. They’re the best-known kind of option, and they allow the owner to lock in a price to buy a specific stock by a specific ...

There's no shortage of legendary tales about workers striking it rich with employee stock options. At Microsoft (MSFT), for example, the tech boom of the 1990s reportedly made approximately 10,000 ...

If options are part of your compensation package, it’s worth your while to get familiar with how they work generally, as well as how your company handles stock options specifically. Forms of ...

Once you own a stock, the best way to profit is to sell it for more than you paid for it. Yes, you can collect dividends, but they're small in modern times, now roughly 2% a year for the S&P 500. That ...