Improving Basis through Options Trading

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This chapter explores the concept of improving basis through options trading, discussing how options can reduce buying costs or increase selling prices of stocks. It covers Warren Buffett's involvement in options trading, different strategies based on know-how or capital efficiency, and the risks associated with options trading.

Tom Sosnoff discusses the ins and outs of options trading – how it works, some strategies for beginners, and its expected returns and risks. Tom is a well-known entrepreneur and options trader.

IN THIS EPISODE, YOU’LL LEARN:

00:00 - Intro

02:34 - What options trading is.

05:53 - Why it is important to consider implied volatility when trading options.

10:04 - If you should be trading options.

10:04 - When should you begin trading options?

11:59 - Strategies that can be useful for beginner options traders.

31:53 - The expected returns and risks of options investing.

39:33 - Why Buffett's options strategy isn't widely publicized.

And much, much more!

BOOKS AND RESOURCES

Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Kyle and the other community members.
Options trading education from Option Alpha.
Kirk DuPlessis’ says New Investors SHOULD Use Options.
Lawrence McMillan’s book Options as a Strategic Investment.
Brian Overby’s book The Options Playbook.
Proof Warren Buffett Is An Options Trader Video.
A Warren Buffett Options Strategy.
All of Robert’s favorite books.

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