Personal Finance
How do options work?
Quick Answer
An option is a contract that gives you the right — not the obligation — to buy or sell 100 shares of a stock at a set price (the strike) before the expiration date. Calls bet on price rising; puts on falling.
Warren Team
Updated April 26, 2026
32
Warren Team
Updated April 26, 2026
32
Important Disclaimer:
The information provided is for educational purposes only and should not be considered as personalized financial advice. Warren is a registered investment advisor. Past performance does not guarantee future results. Please consult with a qualified financial advisor before making investment decisions.
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