Saturday, September 22, 2007

All about stock options

So you are interested in being independently wealthy but you don’t know how you are going to do it. Are there really any good choices?
Well I cannot say how you will do it but options may work for you. Ask anyone who has achieved the status of being independently wealthy and they are likely to tell you the key to building real wealth in the world isn’t with working hard and saving up, but with playing the stock market. One popular way people can delve into the world of stock trading is with trading stock options.
More and more employers give stock options as a reward to employees for helping to grow the company from the ground up. Some companies even give more stock options instead of actual salary because they don’t have much cash on hand. By investing in stock options, you become a part owner in that company and you have a vested interest on how the company performs overall. But you need to be aware that trading stock options can be risky, just like any other form of investing. Don’t ever play with money you don’t have, and don’t ever invest funds that you can’t afford to lose. Remember, even professional stock brokers sometimes pick the wrong way when it comes to how a stock might perform.
A stock option is essentially a promise from a company that you can invest in that particular company. With a stock option, you have the flexibility to "bet" on either the company making money and growing or losing money and doing poorly. But there is even more to trading stock options than that. You have several other options available to you that carry less risk, but also carry less possible reward. Stock options are a favorite of many casual and part time traders because they only carry as much risk as you want to take. You can put all of your options on one bet and make (or lose) everything, or you can be more careful and see what happens. Stock options could be a great way to start a healthy and wealthy career in investing.
David Gilmore - Owner / Operatorhttp://thestockoptions411.com
Article Source: http://EzineArticles.com/?expert=David_Gilmore

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