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What Are Stock Options
You buy or trade stocks, bonds and mutual funds. Some investors use options on stocks or cash indexes to protect and insure the value of their portfolios. A major advantage of options is their flexibility.
You can protect stock holdings from a decline in market price
You can increase income against current stock holding
You can prepare to buy a stock at a lower price
You can position yourself for a big market move even when you don' t know which way prices will move
You can benefit from a stock price rise without incurring the cost of buying the stock outright
Stock options w ....
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