If you’re considering enrolling in one of many options training courses, you should begin with a basic understanding of what options are. Offering a greater variety of types of trades, many people believe stock options are a better financial tool than regular stocks. Although that may be true, new traders should take the time to study the differences themselves.
In this article from SMBU, you can learn how a regular stock differs from a stock option. A notable difference between the two asset classes is the timing component. When you buy a regular stock, you can hold onto it for as long as you see fit. With a stock option, there will always be a built-in expiration date attached to your investment.