While my show mostly revolves around real estate, there are other ways of investing your money. My good friend Omar Khan is on this episode of the show to talk about stock options and discusses all things stocks and how a beginner should step into the stock market world.
Omar, through his business Theta Trading, has helped thousands enter the world of stock options and is here to walk us through how to invest in stock options in 2021, even in the state the world is in right now, and still make money. Omar will also walk us through his strategy of investing in stock options to show a beginner how simple it can be to start making money by simply opening an app on your phone or a mobile browser.
I talked to Omar about my son and how he and a few of his friends have joined investing in stock options after going through his class at Theta Trading. My son has become heated in the world of stock options, knowing that through Omar’s strategy, they won’t have to worry about the companies that Theta Trading deals with are those that have a very slim chance of closing shop or dying down. Companies that are household names that we use on an almost, if not on a daily basis.
The percentage that your stock option is worth is not always going to be a high number. However, when dealing with companies like Apple or Google, even just a small percentage of those companies can equal some decent money.
Omar walked us through what selling a “covered call” is. You would do this if you want to sell your stock option, knowing it’s going to go up in value, and get a premium from the buyer on top of paying what you think it will appreciate to, with the buyer thinking it’s going to be worth a much higher amount in the long run. For 45 days, if that stock’s value goes above what that person paid, they will get all of the gains from that. If it doesn’t, then you still have that premium that they paid. The less profit you’re willing to take on your asking price of the stock, the larger the premium.