Finance


14
Oct 05

Online Stock Option Trading

Stock Options

A stock option is a specific type of option with a stock as the underlying (the instrument that determines the pay-off of the option, and therefore its value). Thus it is a contract to buy (known as a “call option”) or sell (known as a “put option”) a certain number of shares of stock, at a predetermined or calculable (from a formula in the contract) price.

Stock Option Valuation

A stock option contract’s value is determined by five principal factors:-

* The price of the stock,
* The strike price,
* The cumulative cost required to hold a position in the stock (including interest + dividends),
* The time to expiration,
* The estimate of the future volatility of the stock price.

Trading Stock Options

The most common way to trade stock options is trading standardized options contracts that are listed by various futures and options exchanges — there are currently six exchanges in the United States that list standardized options contracts based on underlying stocks — The Philadelphia Stock Exchange (PHLX), American Stock Exchange (AMEX) in New York City, The Pacific Coast Exchange (PCX) in San Francisco, and the Chicago Board Options Exchange (CBOE) which are all open-outcry marketplaces, and the International Securities Exchange (ISE) and Boston Options Exchange (BOX) are electronic marketplaces. In Europe the main exchanges where stock options are traded are Euronext.liffe and Eurex.

There are also over-the-counter options contracts that are traded not on exchanges, but between two independent parties. At least one of those parties is usually a large financial institution with a balance sheet big enough to underwrite such a contract.

Options trading, without intent to ever exercise the option, can be used as a form of leverage. The price of an option on a security will move more than the price of the security itself. For this reason and due to their usefulness in financial engineering, the total value of trading in options has at times exceeded the total value of trading in stocks themselves.

Options can also be traded to capture a certain level of volatility on an underlying security.


14
Oct 05

Paid Surveys

Paid Surveys

Every day people are making money from home by completing online paid surveys.

Companies are always looking for people to help with their market research, and are willing to pay people to complete surveys. Participants in surveys earn their money from trying new products, completing questionnaires on their buying preferences, or watching movie trailers before they are launched.

Earning potential from these surveys can be as much as $150 per hour, and earnings are paid into the participant’s bank account at the end of the month.

Each year, companies spend about $800 million on market research.


30
Sep 05

Qui Tam

What is Qui Tam?

Qui tam is a legal term, an abbreviation of “qui tam pro domino rege quam pro seipse”, meaning “he who sues for the king as for himself”.

It is associated with whistleblower laws that protect an employee who brings a civil action against his or her employer alleging fraud against the government, in order to compel the government to act. A qui tam action, therefore, is an action brought by a private individual on behalf of the government.

Generally, where such an action is successful, the person who brought the action gets a bounty in the form of a percentage of the recovery (usually 10%).

Lawyers who specialise in qui tam are listed.


8
Sep 05

Car Hire

Car Hire

Rental cars are leased to people who don’t have access to their own cars, such as when traveling. Rental cars can often be found in Rental Car Centers typically found near airports.

You can get better deals on rental cars by making your booking online, in advance of when you need it. Many providers offer special deals for internet bookings, as they wish to encourage this low-cost method of order taking.


8
Sep 05

Student Loan Consolidation

Student Loan Consolidation

Student loans are loans offered to students to assist in payment of the costs of professional education. These loans usually carry lower interests than other loans, and are usually issued by the government.

Many students find that they need to take out additional loans to meet the rising costs of study. To avoid paying heavy interest rates on these loans, it is possible to consolidate your loans into one larger loan.

The benefits of student loan consolidation are: the larger loan attracts a lower rate of interest; the loan can be spread over a longer period, making repayments smaller; loan payments are consolidated into one payment; it is possible to take out extra borrowing on the loan.

Some specialist lenders are willing to offer students a heavily discounted rate. I suggest you take advantage of this opportunity in order to reduce your debt.


8
Sep 05

How To Make Money

How To Make Money

Making money is one of the topics many people stumble over. How To Make Money is the biggest question many people have. Many websites make large promises, but ask for large investments.

The quickest and easiest way to make money is via the internet. This is because of the low start up costs, and speed with which you can get a website set up.


8
Sep 05

Home Business