William Meade, President of Pure Alpha Research, has recently published an article divulging the options trading secrets he has learned over years of investing. He shares a simple strategy that focuses solely on buying penny options. These cheap options are liquid and sell for less than $1. As a poor grad student, investing in penny options allowed Meade to build a diversified portfolio with only a few thousand dollars. By purchasing a broad range of inexpensive stocks, you can use this same technique to grow your investment portfolio.
With the super cheap mini options available today, there is even more market access for small investors. A mini option can be purchased for 1/10 the price of a regular option and controls 10 shares rather than 100. You can start trading mini options for stocks such as Amazon, Apple and Google. Although Meade has a much larger portfolio than he did when he first started investing, he admits that he still only trades penny options and mini options.