JBWere provides the opportunity to select investors to trade options.

 

Some of the advantages of trading in options include:

 

Buying put options allows you to protect your shares against a fall in value. Buying a put option locks in the sale price of your shares for the life of the option no matter how low the price may go. The advantage of this strategy is that you are not obligated to sell if the price rises. Your shares will benefit from the price rise, and all you have lost is the put option premium.

There may be times when you are unsure whether you want to go ahead with the purchase and sale of shares. Buying an option enables you to defer your decision until the options expiry.           

 

The risk of loss in trading in exchange traded options can be substantial and therefore it is not suitable for all investors especially those with a low risk tolerance.

 

To discuss this service and whether options are suitable for your investment objectives, please contact your JBWere adviser.