Equity options, which are the most common type of equity derivatives, give an investor the right but not the obligation to buy a call or sell a put at a set strike price prior to the contract’s expiry date. Equity options or stock options provide investors...
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Equity options, which are the most common type of equity derivatives, give an investor the right but not the obligation to buy a call or sell a put at a set strike price prior to the contract’s expiry date. Equity options or stock options provide investors a way to hedge risk or speculate. Also option trading can limit an investor’s risk and leverage investing potential. This presentation gives an introduction to equity option product and valuation. You can find more details at http://www.finpricing.com/lib/EqOption.html
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