Chargement
An option is a contract that gives you the right (long) or obligation (short) to buy or sell a security at a fixed price, before a date. Interactive payoff diagrams for the 6 basic strategies.
Buy a call — bullish bet with loss limited to the premium.
Buy a put — bearish bet or hedge on a long position.
Sell a put — collect the premium if the stock rises or stays flat.
Sell a call without owning the stock — theoretically unlimited loss.
Sell a call against shares you hold — income on an existing portfolio.
Sell a put with cash as collateral — buy at a price you like + premium.
Every extra leg buys a boundary and sells potential. None of these six structures carries unlimited loss — but each adds a bid-ask spread to cross, and one more short contract that can be assigned before expiry.
Buy a call, sell a higher one — lower cost, capped gain.
The bearish mirror: buy a put, sell a lower one.
Call and put at the same strike — bet on magnitude, not direction.
Same bet, spread-out strikes — cheaper, more demanding.
Peak gain if the stock lands right at the centre — closed risk.
Collect a premium as long as the stock stays in a corridor.
Options are high-risk derivative products. Polaris provides educational content only, not registered investment advice (AMF). Before trading options, your broker must assign you an authorization level appropriate to your risk profile.