Series 7: Fundamentals of Options

Name: Series 7: Fundamentals of Options
Rating: 4.5 (387 reviews)

Helping you understand Options and How they Work

Highest Rated

Created byGuillermo Nodarse

Last updated 3/2017

English

What you'll learn

Understand the fundamentals of Options and how they function

Course content

1 section • 17 lectures • 1h 24m total length

Series 7: Options Introduction3:25
Module 1: What is an Option3:47
Module 2: Example of an Option5:21
Module 3: Equity Options3:34
Equity options include calls and puts on an underlying asset, with a price and date; calls give buyers the right to buy, while sellers commit to sell for a premium.
Module 4: Equity Options (Continued)2:08
Master equity options basics by examining puts and calls, the three elements, and how a put lets you sell the underlying at a set price by a set date.
Module 5: Call Options (Stocks/ Equity)5:28
Learn how call options on stocks work, including 100-share contracts, premiums, and the right to buy IBM at sixty, with value driven by stock movements.
Module 6: Call Options (Stocks/ Equity Continued)5:24
Analyze call options on stocks, including 100-share contracts, strike price, expiration, and how intrinsic value defines in, at, or out of the money.
Module 7: Call Options (Stocks/ Equity Continued)5:35
Module 8: Call Options (Stocks/ Equity Continued)5:37
Explore why call buyers are bullish on IBM, including speculating, locking in a 60 strike, diversifying holdings, and hedging short positions, with unlimited gain and limited losses.
Module 9: Call Options (Stocks/ Equity Continued)5:12
Module 10: Call Options (Stocks/ Equity Continued)8:44
Module 11: Put Options (Stocks/ Equity)5:52
Module 12: Put Options (Stocks/ Equity Continued)4:47
Module 13: Put Options (Stocks/ Equity Continued)5:18
Module 14: Put Options (Stocks/ Equity Continued)5:22
Module 15: Terminology5:13
Define options basics: strike price, expiration, premium, intrinsic value, and time value, and categorize calls and puts as in the money, out of the money, or at the money.
Module 16: Summary3:47

Requirements

Students will need to have purchased a Series 7 Instructional Course, which typically includes a Textbook and Test Questions

Description

Are you scheduled to take the Series 7 - and are anxious regarding your ability to pass this important test? If so, you are not alone; the Series 7 is one of the most stressful and challenging tests in any industry, and often times, one's future employment depends on passing the exam the first time around. Perhaps the most challenging section of the test involves Options and how they work, as well as the investing and hedging strategies that are available through their use - and few sections prove more difficult for Series 7 students. Unfortunately, the Options section often represents between 10-12% of all the questions on the entire test, so mastering this material is critically important.

This Fundamentals of Options Seminar will begin at the beginning, emphasizing the conceptual underpinnings of Options - what they are, how they function, and how they are used to achieve certain desired investment outcomes. Without a clear and strong understanding of these fundamental principles, it is extremely difficult to master Options, and passing the Series 7 then becomes even more challenging.

Once you've taken this course you'll have a much stronger grasp of the key principles regarding Options. But in order to help you understand and master the more complex applications and strategies using these contracts, I created my Intermediate Options Seminar - which will further strengthen your understanding of Options and help make you a more confident and effective test taker.

Who this course is for:

Our target student is anyone scheduled to take the Series 7 test in order to be Securities licensed and able to work in the Securities industry