In my previous article, I shared why options were the weapon of choice for some of the astute investors like Warren Buffet and Jim Rogers. You may read the article HERE.
As with all things in life, there are 2 sides to a coin, the yin and the yang. To make a good judgement or decision, one needs to have a complete picture, to see a subject matter from different perspectives. In the world of investing, this is known as the risk-reward factor. Most investors are blinded by the high returns option trading could provide. However, they often neglect the risks that comes with it.
This article serves to provide information regarding the dangers of trading options. Options itself does not bring good or harm to us as it is just a tool. Whether it helps us to attain our financial goals or wipes out our hard earned wealth highly ......