One of the biggest traps new options traders fall into sounds logical on the surface: “If I trade cheaper options that expire sooner, my risk must be lower… right?” The shorter time frame certainly ...

The usage of options products is on the rise. According to the Options Clearing Corporation (OCC), the world's largest equity derivatives clearing organization, the total options volume for August ...

Trading options is one of the best ways to benefit from fluctuating stock prices. By making calculated predictions and selling or buying options accordingly, you can gain a substantial profit. However ...

An assignment refers to transferring rights or property. Learn how assignments work in options contracts and see examples of assignments in mortgages, wages, and leases.

Julia Kagan is a financial/consumer journalist and former senior editor, personal finance, of Investopedia. Robert Kelly is managing director of XTS Energy LLC, and has more than three decades of ...