Options - Module 1
How options markets work
Rights, not obligations: calls, puts, strikes and expiries, and the exchange-listed chain. This track assumes the equities track throughout - options are priced on an underlying you must already understand. Greeks and the volatility surface are module 8's territory; this module is structure and vocabulary.
9 lessons, about 57 minutes
- 1An option is a right, not an obligation7 min
- 2Calls and puts6 min
- 3The premium: what you pay and what you sell6 min
- 4Intrinsic and time value6 min
- 5Time decay: the option's clock6 min
- 6Volatility and the premium7 min
- 7Expiry, exercise and assignment6 min
- 8Moneyness: in, at and out of the money6 min
- 9The breakeven that anchors everything7 min