Stock option investing is buying an stock option to purchase or sell a stock for a specified price on or before a specified date. There are two different types of stock options. A call option is the right to buy a security and the person who purchases it is called the "buyer." A put option is the right to sell a security and the person selling it is called the option "seller" or "writer." The advantage of Stock Option Investing is that it allows you to maximize your potential reward while minimizing your risk. Stock Option Investing allows you to leverage your investment by buying and selling them in various combinations to create exactly the risk profile you desire. You can use them to take advantage of any market conditions, not just the highs or lows.



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