Saturday, May 26, 2012
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Posts Tagged ‘option’

what is a stock option and how do I cash them in?

I have 400 stock options that were given to me as a bonus, but I don’t know how stock options work. Do I have to pay for these options at the price that was posted when I received them if I want to exercise them?


Hi, What happens to the value of a stock option when it is purchased after the announcement of the stocksplit?

Basically, i’m wondering what happens to the value of a stock option if one buys it after the date the company formally approves the stock split? I.e If a company approves a stock split on Nov 1, to be excuted on Nov.30 and you buy a stock option on Nov.15.
Basically it’s the price of stock option PUT. If a person purchases a stock option, after the company officially approves a 3 for 2 stock split. (after the date). Since the price of the company is brought down due to the split, wouldn’t the price of the option also increase?


What percentage should a put option cost relative to my stock position?

I own 100 shares of stock ABC for $20 for a total of $2000. I want to protect myself from downside risk, so I need to buy a put option. How much should I pay for a put option relative to my $2000 stock position? I would appreciate if you could direct me to a professional source like a book or website but opinions are welcome.


What does the “Economy” option on a washing machine actually do?

I have a standard Zanussi washing machine that is est. 10-15 years old. It has an “Economy” option.

All I can gather that this does is avoid using hot water from the house hot water tank and heats the water within the washer using an electric element.

As heating the water by electricity is both more expensive and more carbon intensive than heating it by gas – where is the economising?

Or am I incorrect in my assertation to what the “Economy” button does?


What is the difference between option on stock index and option on a stock index future?

I understand what an option is. But what is the difference between option on the stock index and option on the stock index futures?


What is the best retirement option for someone that wants to save on his own?

I am a foster parent and I get paid by my agency through a per diem. That means the money I get paid is tax free. And since I don’t have a full time job, I don’t have a retirement plan. I want to start saving for the future. Can any one help?


Retirement not option for many Oklahomans

Retirement not option for many Oklahomans
Many Oklahomans are working well past age 65 to make ends meet.

Read more on The Oklahoman


How can an investor sell stock after purchasing a put option when the value of the stock dropped?

If an investor buys a put option for the right to sell shares at $50 a share, and the market price of the stock drops to $40 per share, how is it possible the investor is able to exercise their right to sell the shares at $50 per share? Who would be interested in purchasing stock at $50 per share if they can purchase it for $40 per share?