Before making any trading decision, get advice from a professional investment advisor before implementing or acting on the information provided in this book. None of the information in this document has been verified by an independent party. The use of the information in this document does not warrant or guarantee the success of any action that you take based on the information provided in this document or ebook. This document or ebook is not a solicitation or offer to buy or sell any securities, options or commodities.
Don't enter any trade without fully understanding the worst-case scenarios of that trade. Trading stock options can be extremely complicated and risky, so make sure you understand these trades before entering into them. Don't enter any trade without fully understanding the worst-case scenarios of that trade. When trading options, because of leverage, you can lose more money than you invested initially to trade. Past performance or information provided in this document or e-book is not indicative of future results and as such does not guarantee the success of a trade. The market conditions are always dynamic and the trader should take complete responsibility for the trade. As a writer of a stock option, you may be assigned an exercise at any time from the date of sale. A stock assignment may completely change the trade and the trader should continuously monitor the trade to ensure that the risk associated with the trade is comfortable to the trader.
Characteristics and Risk of Standardized Options
Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risk of Standardized Options. Copies of this document are available from your broker or from The Options Clearing Corporation, One North Wacker Drive, Suite 500, Chicago, Illinois 60606.
This document is made available for your personal, non-commercial use only. The information in this book are protected by U.S. copyright laws, other copyright laws both nationally and internationally. You may not distribute, transmit, display, reproduce, modify, create derivative works from, or otherwise exploit any material in this document or e-book. You may not store any significant portion of, nor distribute copies of, information in this document, in any form (including electronic form), without prior written permission from the author
Disclaimer of Warranties and Limitation of Liability
If you rely on any information in this document or e-book, you do so at your own risk. Information in this document should not be considered personalized investment advice. This book requires knowledge of option trading. Note that the adjustments provided in this e-book are not comprehensive. Traders should not treat the examples provided as recommendations for trading. The responsibility of the entire trade and the adjustments lies with the trader. This book makes no claims about the validity of an adjustment in a given market scenario. This e-book or document makes no claim regarding the accuracy of the adjustments provided. The right adjustment depends on the trader's understanding of the overall market conditions. The adjustments mentioned in this document usually help adjust the delta of a position. However, making an adjustment changes all the Greeks of a position. A trader should always keep the overall Greeks of the position in context when making an adjustment to any option position. This book does not recommend that the trader should make the exact adjustment mentioned in the book. A trader should understand the concept behind the adjustment to structure trades unique to his or her situation. Although this document or ebook may provide information relating to investment ideas or buying or selling of securities or options, you should not construe the information as financial, legal, investment etc. advice.
Forex, Futures and options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This e-book or document is neither a solicitation nor an offer to Buy/Sell futures, stocks or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this e-book or document. The past performance of any trading system or methodology is not necessarily indicative of future results. Substantial risk is involved. Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the options markets. Don't trade with money you can't afford to lose. Nothing in this course or e-book or document shall be deemed a solicitation or an offer to Buy/sell futures and/or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in this e-book or document. Also, the past performance of any trading methodology is not necessarily indicative of futures results. Trading involves high risks and you can lose a lot of money.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
This document or e-book has been made available to you by 3C Foods LLC (referred to hereafter as "3C"). 3C is not a broker or an investment adviser and does not provide investment recommendations on buying or selling of securities, futures or options. The information provided by 3C in this document or e-book is based on experience but is not guaranteed to be accurate or complete.