Ready to Elevate Your Portfolio with Options? 

Safely enhance your portfolio and returns by learning to sell cash secured puts. Earn extra cash and reduce the cost of stocks you wish to buy, all while managing your portfolio with less risk than purchasing stock outright at current market prices.  Online at Udemy. 

(Watch the promo video to see how your first trade can cover the course cost with change to spare!)

Course Overview:

We begin with a review of essential options concepts and terminology. This review includes key content from my "Options Trading for Beginners" course, with a focus on the most crucial aspects for selling puts. Even if you’ve already taken the beginner's course, it's beneficial to revisit these fundamentals.

Next, you'll learn to read an options chain and choose strike prices and expiration dates that align with your investment goals. I'll provide step-by-step instructions for selling your first put, detailing what to expect from the contract's opening to its expiration. It's crucial to understand the necessity of holding cash in your account as collateral in case you are assigned to buy the stock.

We'll examine scenarios where a put is "in the money" or "out of the money" at expiration. I'll guide you on finding your breakeven point, setting trade goals, and assessing if the outcome aligns with your original objectives.

Note: This course is the second part of the "Novice Options Traders" series, but it can be taken as a stand-alone course.

Important Risk Information:

Beware of self-proclaimed internet gurus promising outsized returns and urging you to hand over your funds for them to invest. Poor advice or entrusting your money to others can jeopardize your portfolio. Even a few bad trades can negate any gains.

I promise to be straightforward with you. I won’t make unrealistic promises or suggest you give me your money to manage. I am a teacher, not a financial manager. Trading options isn't necessarily riskier than trading stocks and funds. In fact, options can be used to boost returns and reduce risk.

I want to be clear that I don’t advocate for high-risk strategies promising massive gains. Such advice often involves taking on more risk than is prudent. However, using options can help you pay less for stocks you want to own and earn extra income on stocks you are willing to sell. Even a few extra percentage points annually can significantly compound over time. During a bear market or a market correction, options can help reduce losses and set you up for a stronger recovery.

First Assignment: Are You Ready to Trade Options?

Use this checklist to determine if you’re prepared:

• I manage my own brokerage account.
• I know how to buy and sell shares of stock.
• I can select stocks I want to own.
• I use limit orders to set my buy and sell prices.
• I have the funds and risk tolerance to invest at least $5,000 in a single company.
• I am ready to actively manage my account.
• I can check my options positions weekly and place orders once or twice a month.
• I am patient and focused on safely growing my portfolio over time.
• I enjoy understanding how things work; I want to learn to fish, not just be given a fish.

If these statements don’t yet apply to you, consider starting with my "Novice Investors: Introduction to The Stock Market" course to build foundational knowledge. Learn how the stock market operates and gain experience with buying and selling stocks and funds before diving into options. 

If you’re eager to learn about options, you can still take this course but consider using a paper trading account to practice before investing real money.