Description

An introduction to the essential features and pricing dynamics of financial options. A solid foundation in option terminology and structure, along with an intuitive understanding of what drives the option premium. The videos explore common strategies such as protective puts, covered calls, and straddles, showing how different market views translate into practical trading or hedging positions.

Learning Objectives


  1. Identify key terminology and structures of financial options.
  2. Distinguish between European, American, and Bermudan exercise styles.
  3. Explain the components of the option premium, including intrinsic and time value.
  4. Recognize the market drivers of time value, including volatility and time to expiry.
  5. Identify and interpret common option strategies such as protective puts, covered calls, and spreads.