warrants thread, page-4

Hi Yol,

Havn't done any of this sort of thing for quite a while, but the way to make real money is by WRITING options NOT buying them. ( You can't do that with warrants)

You need to know what you are doing but it is like taking the role of the bookmaker at the races... & if you do it sensibly & conservatively you can make excellent money over time. It is not spectacular double your money in a week stuff, but good steady business.

A good starting point if you don't know too much about it is Louise Bedfords book The Secret of Writing Options...Published by Wrightbooks costs ~$33.

The fact is, a very high % of options expire worthless so why not be the one collecting the premiums from someone else.
The time factor works for the writer,not the holder.

I have a favourite saying which anyone who has ever held an option can appreciate

"WHEN YOUV'E GOT OPTIONS, TIME GOES TWICE AS FAST AS TIME"

My only other tip is when I was doing it... I did not write puts. Shares can crash down but rarely if ever crash up

Cheers

Bendigo