How do people not get what the UPSIDE of buying options is?
Doesn't mean it will happen, but if the FPO's were to shoot up a couple of cents between now and expiry and get 'in the money', it would represent a couple of hundred percent profit on any options bought at this level.
It is risky, yes.
But that is the upside, so that is why someone might do it. Is it that hard to understand?
I am considering getting a couple, with the full knowledge that it could be a 50-100% loss to a few hundred % gain.
Wouldn't put my house on it, but might be worth a small wager.
do people really know what they are doing, page-4
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