People with surplus funds, seek to ensure that their profitable to invest.In this respect, the Western financial markets are far ahead of domestic, asin our country for more than 70 years of interesting tools for profit, quite simply, no.European, American and Asian markets for 70-80 years.20th century several exhausted a variety of games in the segment of the securities, which led to the emergence of derivatives - Derivatives.
Today derivative securities, which include put and call options are defined as securities on the price of something (goods, securities, indices, interest rates, etc.).Or as uncertificated rights that appear in the holder in connection with the price of the asset underlying the derivative.
These tools at the end of the 90s of the 20th century as "inflated" stock markets in different countries, it entailed the economic turmoil, the stock market crash and the instability of the banking system in 1997 in the Asian financial market.
consider in more detail what is a put and call option.In general, an option is a contract that gives the right (not mandatory) at a certain time to buy or sell the asset underlying the contract.For the acquisition of the rights necessary to pay a premium (i), which is a small part of the total cost.The price of the future purchase (sale) (p) is set in the contract and not subject to change.
Contacts of this type are divided into put and call option (from the English "put" and "call").The first option gives the right to sell the asset, and the second - to buy.If the price of the asset, established at the time of performance of the contract holders are not satisfied, then the contract is not fulfilled, because, stress option only confirms a right, not an obligation.Through these instruments, investors can benefit from changes in the prices of commodities, stocks and others. Without actually owning them, which is why derivatives have received such wide distribution.
Put option (call) may be an American (performed at any time before the end of the contract) or European (performed only on the date of execution of the contract).From other derivatives - futures - options differs in that in the case of performance of the contract asset underlying necessarily comes.
potential profit those who purchase a put option is calculated as the price specified in the contract (p), minus the price of the asset on the market on the day of (h) and premium (i).The positive outcome of the transaction is possible, if h & lt;p.In the reverse ratio (p & lt; h) the holder suffers a loss in the amount of the award (i).
For example, you buy a put option for the shares with a strike price of 60 rubles.in 3 months.Plus, premium pay, say, 5 rubles.It is assumed that by the time prices will fall to 50 rubles.At the time of execution of the contract you buy shares at this price, the option to sell them at a profit, and = 70 - 60 - 5 = 5 rubles per share.
Summing up, we can say that the option is really a tool for profit with minimal loss in the form of bonuses.
