How Options Pricing Works | Trading Options Course

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Options are not suitable for all investors as the special risks inherent to options trading may expose investors to potentially rapid and substantial losses. Options trading subject to TD Ameritrade review and approval. Please read Characteristics and Risks of Standardized Options before investing in options.

Options pricing can be complicated, but it works a lot like car insurance. See what makes up an options price (aka premium) and explore the relationship between the underlying asset and its derivative.

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