Dear Options
Trader,
In the
past several years, there has been an explosion in option trading by the non-professional trader.
Unfortunately,
most traders new to options don't realize that most options expire
worthless
and that they are fighting the odds by
trading options, as buyers.
What do I mean
by 'fighting the odds'?
Very simply,
anybody buying options is up against a formidable foe known as time
premium decay.
In my trading seminar you will learn how to setup and manage vertical
and diagonal option credit spreads that have the potential to capture and retain option time
premium
as potential profits.
An article I published in Futures magazine, Option Sellers vs.Buyers: Who Wins? (March, 2003),
explains how on average 3 out of every 4 options expire worthless.
Credit spreads allow you to
potentially profit from options that expire worthless.
While selling
options is hardly the Holy Grail of trading, the data from my study
suggests that there may be a statistical edge to selling
options
versus
buying.
What
is so special about this seminar?
When
I do a
seminar, I put everything I know about options into my presentation, given time limitations.
In other words,
this is not option trading boilerplate you find at many seminars that cost
five-to-ten times as much money. This is the real
deal!
The four
90-minute, intensive seminar modules are based on real trading I do every
day as a professional trader
and money manager, and include details on actual trades I have done in the
past in my fund.
My seminar will cover
valuable
concepts and strategies that will give you the tools to trade options like a professional.
So come to
Chicago for a
learning experience I trust you will never forget.
Sincerely,
John F. Summa, CTA, CPO, PhD, ABD
Founder &
President, OptionsNerd.com
____________________________
Seminar Registration
Disclaimer: Transactions in options carry a high degree of risk. Purchasers and sellers of options should familiarize
themselves with the type of option (i.e., put or call) which they contemplate trading and the associated risk.
Selling ("writing" or "shorting") an option generally entails considerably greater risk than
purchasing options. Although the premium received by the seller is fixed, the seller may sustain a loss well in
excess of that amount. Option buyers should calculate the extent to which the value of the options must increase
for a position to become profitable, taking into account the premium paid and all transaction costs.
The National Futures Association requires that
we state the following:
HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION
IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT,
THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY
ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT
THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL
RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING.
FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING
RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC
TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND
ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE
RESULTS.
This site has been prepared solely for information purposes, and is not an offer to buy or sell or a solicitation
of an offer to buy or sell any security or instrument or to participate in any particular trading strategy. The
information presented in this site is for general information purposes only. Although every attempt has been made
to assure accuracy, we assume no responsibility for data errors or omissions. Examples are provided for illustrative
purposes only and should not be construed as investment advice or strategy. The information presented herein has
not been designed to meet the rigorous standards set by the Commodity Futures Trading Commission for disclosure
statements concerning the risks involved in trading futures or options on futures. That disclosure statement must
be provided to you by your broker. For additional disclaimers, click here.
