options vs shares, page-2

very roughly

4c - 1c
5c - 2c
6c - 3c

10c - 7.7c

As you can see the leverage advantage grows significantly after the 4c mark is passed. As with any option there is additional risk, notibly if a SP increases but not by enough to put the options well in the money for example if CDY heads were to stagnate in the 2.5c to 3.5c range.

A few people invest in company options for blue sky potential knowing that the downside for a total failure is less if their total investment is significantly less than if they went for heads.

Do some additional reading/research before going one way or the other.

Cheers